stock bull,
IMO, economists and stock market pundits, e.g., CNBC guests, are a lot like weathermen. Their ability to predict accurately is poor at best...and they never even apologize for being wrong. Actually, the worst ones are the pundits at least the weather folks try to tell what is going to happen tomorrow....suppose they handled it like the pundits or analysts...."We have a target temperature of 78 degrees in San Diego within the next twelve months." or The reason it was 26 degrees yesterday was that an arctic front moved through the area with colder air behind it.
By the way, If the "market" was concerned about rising interest rates and the jobless claims were lower than expected and wages were higher than expected, doesn't it follow that there is an increased risk of inflation...thus the fed is more likely to raise interest rates...hence the markets should be down? Assuming the markets will close higher today, will the pundits say. "Based on the details of the economic data released early this morning, traders were unconcerned about any near term raises in interest rates." or perhaps. "While the economic data reflected the potential of higher interest rates by the fed to control inflation, these fears were already priced into the markets and traders were encouraged by the prospects of increased growth leading to increasing earnings.
The other nit that annoys me is the analysts predictions, they predict company x will have earnings of y cents/share. They get it wrong and the company gets blasted because the analyts can't make accurate predictions.
Best Regards,
Jim |
