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Goldman follows up on last night's 16,000 Nikkei prediction with a 1900 target for the S&P...

Goldman follows up on last night's 16,000 Nikkei prediction with a 1900 target for the S&P 500 (SPY) by the end of 2015. The firm posits a scenario wherein pretty much everything that can go right, does: U.S. stocks will see "strong earnings growth, good dividend yield, and expansion in multiples" on their way to +9% annual returns. As for the risk to stocks posed by Fed tightening, GS notes that "historically, increases in yields from low levels driven by better growth have been associated with rising rather than falling" equities. What about rising rates coupled with anemic growth? 
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  • uncensored patriot
    , contributor
    Comments (61) | Send Message
     
    Who knows? Have they received more "leaked" information about the Fed's intentions from the Fed?
    14 Apr 2013, 09:05 PM Reply Like
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