Saturday, 22 December 2007

DJIA and US GDP Forecasts for 2008

Yesterday on CNBC's Kudlow & Company 5 regular participants spelled out their predictions for the Dow Jones Industrial Average, the fed funds rate and the 10 year treasury:

2008 DJIA forecasts:

Jerry Bowyer, Benchmark Financial Network chief economist - 15,000

Mark Skousen, "Investing in One Lesson" author - 15,000

Stefan Abrams, "Bryden-Abrams Investment Mgmt - 14,555

Joseph Battipaglia, Stifel Nicolaus market strategist - 14,500

Michael Metz, Oppenheimer chief investment strategist - 11,896

I just wrote down their stockmarket predictions but if you want to listen to all the forecasts click on the image above.

On Thursday Nouriel Roubini appeared on Kudlow and Co with Brian Westbury and they gave their predictions for US GDP growth. It was an interesting match up as these two guys are on opposite ends of the spectrum in terms of their views.

Roubini thinks that a recession is "inevitable in 2008," Westbury's view is, and I quote from an earlier interview on CNBC on Dec 14th "This whole recession is a figment of people’s imagination." So the divergence in their forecasts should come as no surprise:

2008 US GDP growth forecasts:

Brian Westbury 3.0%

Nouriel Roubini -1.5%

Click on the image above to see the entire segment.