I feel guilty kicking a sick dog, but I have this love/hate perspective of Goldman Sachs. Their earnings came out yesterday, and they are definitely sick. Fortunately, I don't buy stock in any company that I don't trust and do NOT have their stock in any portfolio I manage. And, I certainly would never permit my daughter to date anybody who worked there.
Nonetheless, I love their research! Here are their latest predictions:
If we have a recession, it will be mild, only a 1.5% drop in GDP compared to an average of 2.3%
GDP growth will be 1.7% this year but only 1.4% next year.
Unemployment will rise to 9.5% next year, from 9.1% now.
Gold will hit $1,860 per ounce next year, compared to $1,658 now.
The Euro will strengthen to $1.48, compared to $1.38 now.
Although quite independent in their past predictions, this one seems more in-line with other firms on Wall Street. When everybody on the Street starts thinking the same, it can become a self-fulfilling prophecy, which is a little worrisome to me.
They also predict the S&P 500 will hit 1,300 by next year-end, up from about 1,225 now. That is about a 6% increase over the next year or so -- hardly the "rip-your-face-off" bull rally that many firms are predicting and is more consistent with my own expectations. Maybe, that's why I love their research . . . ??
Nonetheless, I love their research! Here are their latest predictions:
If we have a recession, it will be mild, only a 1.5% drop in GDP compared to an average of 2.3%
GDP growth will be 1.7% this year but only 1.4% next year.
Unemployment will rise to 9.5% next year, from 9.1% now.
Gold will hit $1,860 per ounce next year, compared to $1,658 now.
The Euro will strengthen to $1.48, compared to $1.38 now.
Although quite independent in their past predictions, this one seems more in-line with other firms on Wall Street. When everybody on the Street starts thinking the same, it can become a self-fulfilling prophecy, which is a little worrisome to me.
They also predict the S&P 500 will hit 1,300 by next year-end, up from about 1,225 now. That is about a 6% increase over the next year or so -- hardly the "rip-your-face-off" bull rally that many firms are predicting and is more consistent with my own expectations. Maybe, that's why I love their research . . . ??
