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Last month, Wharton Professor Jeremy Siegel boldly claimed that there was a 70%
chance that the DOW could reach 15,000 this year [and that] there’s a 50% chance that it could reach 17,500 by the end of 2013. [Here are his reasons]. Words: 291
So reports Mamta Badkar (www.businessinsider.com) in edited excerpts from an article* which Lorimer Wilson, editor of www.munKNEE.com has further edited below for length and clarity – see Editor’s Note at the bottom of the page. This paragraph must be included in any article re-posting to avoid copyright infringement.
Badkar goes on to say, in part:
In an interview with Bloomberg TV, Siegel explained:
1. why he was so bullish on stocks:
- We know how much money has been flowing into those bonds funds over the last three or four years. All of a sudden they might get a little nervous and say where am I going to go? Where can I get some yield and also some protection against inflation and growth and that’s when I think we’re going to see people fleeing the bond market moving into stocks.
2. why he isn’t too concerned about threats from Europe, oil prices or the Middle East:
- I hear all these problems but history says the greatest bull markets climb the wall of worry. There’s always these things you can worry about to keep people out…when no one has any worries. When there are no clouds on the horizon that’s when I want to get out of the market.
3. that oil prices are a wild card but the U.S. is half as sensitive to oil now as it was back in the 70s.
*http://www.businessinsider.com/jeremy-siegel-bull-markets-wall-of-worry-2012-3
Editor’s Note: The above article has been has edited ([ ]), abridged (…), and reformatted (including the title, some sub-titles and bold/italics emphases) for the sake of clarity and brevity to ensure a fast and easy read. The article’s views and conclusions are unaltered and no personal comments have been included to maintain the integrity of the original article.
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