You're watching...
Raymond James Chief Investment Officer Jeffrey Saut will continue to grind higher throughout the end of 2011.
Also in this playlist...
Auto-advance: ON
Auto-advance
This transcript is automatically generated
Now even before congress finally seem to find some compromises Peter just reported -- our next guest was already.
Calling for the market she was to put it grind higher into next year from Raymond James the chief investment strategy yeah.
Funny I just always.
We had we have Bob daughter BlackRock god earlier in the week it is relatively optimistic guys well -- -- thirteen fifty.
And the next year the S&P were 1227 right now.
Where you -- I think that's reasonable I think I think you'll see high single digit gains on the S&P.
Next year provided we don't talk ourselves into a recession.
Talk ourselves into a recession and what does that mean does that mean that if it as long as we.
Are happy go lucky and you know optimistic in the way we speak everything's fine.
It's not a problem in Europe it's not a problem and our own economy what does that mean talk ourselves whether it there.
There is there is an issue in Europe but doctor gave you -- bunch out of the box solutions to the European Euro quake situation.
But having lived in and around the DC beltway for years -- I will give you a walk around indicator.
The ECB.
The bureaucrats and at the bureaucrats surrounding -- in the politicians do not want to lose their power.
And if the Euro falls apart they all lose their power so my guess is at least in the short to intermediate term they're gonna find a way to Paper over.
The Euro quake situation I think that's going to be optimistic for the markets.
As far as the US I can give you a number of -- a wallet ratios -- suggests we're not going into recession.
But here -- the best walk around indicator has been the casual dining space yeah and -- bid before every recession.
-- traffic in the casual dining space has declined and that's just not happening save the one off company specific event would Darden that occurred last week.
It is your point that the Canada media chatter which I guess we're literally a part of right now it's just too negative and that the numbers.
Are showing that the economy's really picking up significant steam that things are a lot better than they seem is that the argument you're making.
I don't know but significant steam but if you look at railcar loading as intermodal loading as they've been pretty strong for the past five or six weeks.
If you look at state that tax receipts.
They're up emotionally around 12% year over year albeit from a low base.
And if you look at port traffic along the East Coast inbound and outbound.
It's it's just -- the kind of things you see going into recession.
-- -- -- Just broadly you're buying the market gauges or you still have to pick and choose and hear what your investment strategy is ever and he's always forming these new year investment strategies all the resolutions that kind of thing what's yours Jeff.
So I think that I think the markets are gonna be as measured by the S&P up high single digits next year when you -- a three or 4% dividend yield to that.
It's a pretty.
Compelling argument for -- US equities I think the world.
Is profile only under invested in US equities.
The endowment funds in this country are only about net long about 12% they can't achieve their mandates of 789%.
Per year returns.
In two year.
Our she's -- in 2% yielding ten year treasury bond so.
I think when it becomes evident that we're not slipping into recession I think there's going to be a scramble for US stocks and that's.
Arguments about the bullish -- has heard from -- sought well made by the -- -- the other side -- some are the guess try to give you a little bit of everything but Jeff have a great new year and if we don't see and thanks as always for coming up.
Season's greetings to.
