December 22, 2010

Goldman Sachs: 2011 Will Be The Year Of The USA.

Improving growth, falling unemployment and a sense that the U.S. is returning to "normal" could fuel a 20 percent stock market gain and make 2011 the "Year of the USA," according to Goldman Sachs economist Jim O'Neill.

Jim O'Neill,expressed the view this week that the U.S. will be a bright spot in the world economy, with growth rates of 3.4 percent in 2011 and 3.8 percent in 2012.

"This growth is likely to be strong and robust enough to lead to declining unemployment which, if correct, should mean that the worst of the social consequences of the credit crisis should start to ease. Bond yields should continue to rise further, and the dollar could rally quite a bit."

Related: General Electric Company (NYSE:GE), 3M Company (NYSE:MMM), Netflix, Inc. (NASDAQ:NFLX), NIKE, Inc. (NYSE:NKE), Bank of America Corporation (Public, NYSE:BAC) , Goldman Sachs Group, Inc. (NYSE:GS) , Visa Inc. (NYSE:V) , MasterCard Incorporated (NYSE:MA), Apple Inc. (NASDAQ:AAPL) , United States Steel Corporation (NYSE:X), Alcoa Inc. (NYSE:AA) , Ford Motor Company (NYSE:F), Lennar Corporation (NYSE:LEN)

1 comment:

Anonymous said...

I could have written these lines...If Europe proceeds with Euro bonds then it will not make sense to grant more value to a Eurobill anymore. Still long S&P until mid Jan or earlier with a 1280-1300 target. I am concerned about commodity, labour inflation which is not good for profit margins for most corporations...Bank stocks + Insurance could rally strongly on the other hand, inflation + T-bond yields will help their balance sheets. Long French banks + Insurance companies. America, BAC are back in 2011!
Jacques