2010-09-27 23:55:00 - By Dave Manuel
Editor in Chief of the "Stock Trader's Almanac" Sees DJIA Reaching 38,820 By 2025
According to Jeffrey A. Hirsch, editor in chief of the "Stock Trader's Almanac", the Dow Jones Industrial Average will "surge" to 38,820 by 2025.
This would represent an increase of 250%+ over just 15 years, as the Dow Jones Industrial Average is currently trading at 10,812.04.
Hirsch's "bold" prediction was met with a great deal of snickering on Wall Street. According to Bloomberg.com, Frank Ingarra of Hennessy Advisors Inc. called the 38,820 prediction a "crazy number", while Liam Dalton of Axiom Capital Management Inc. said that he "couldn't throw a dart that far" and that the level at which the DJIA trades in 2025 is "unknowable".
Hirsch predicts that an eight-year "super boom" will begin in 2017 that will carry the DJIA to an unspeakably high 38,820 by 2025. This "super boom", according to Hirsch, will be the result of inflation from war/crisis spending, as well as new advances in energy technology and biotechnology.
Skeptics will point out a few things, including:
1. Lofty predictions for the Dow have been made before, only to end up being completely wrong. Bloomberg points out that a "Dow 36,000" book was released in 2000 - this book, which made the New York Times bestselling list, predicted that the Dow would reach 36,000 by 2005.
2. The Dow Jones industrial Average has barely moved over the past 10 years.
One thing is for sure - Hirsch certainly has certainly generated a great deal of publicity for the newest edition of the "Stock Trader's Almanac" by making this bold prediction..
Source: Bloomberg.com - Dow "Super Boom" To Drive Average to 38,820 by 2025, Hirsch Says
Filed under: General Market News
1 COMMENT - What Say You?
Comment by FTC on September 29, 2010 @ 4:39 pm
Say anything to sell anything. it's legal to mislead stupid people for profit. Isn't that the foundation of our economic system?
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