I take that to mean 4-5% more upside. One target might be the election day highs, 9625 on the Dow, 1005 on the S&P. Neither of those numbers are very strong, on Nov. 6 the DJI had backed off 930 points, the S&P was back to 904. With the DJIA at 8845 and the S&P at 950, not a lot more to go.
The eggheads over at Goldman Sachs are out with a bullish note on the
markets this morning which — along with CIT — might be contributing a favorable
breeze into the sails of the stock market.
The folks over at 85 Broad Street essentially see the market recovery from the financial crisis as a three-pronged process they call “Pop, Stall, & Sustained recovery.” (Which could also, by the way, make a sweet slogan for a line of breakfast cereals.)
Goldman writes:We have experienced the brief euphoric one-month “pop” phase of the
typical equity market recovery from a bear market low (27% rally from 667 to 850), endured the characteristic several-month long range-bound “stall” period (10% range from 850 to 940), and now we anticipate a more extended “sustained rally” in the U.S. equity market during the second-half of 2009....MORE