*Read carefully. The recovery is expected to happen in 2H09, by that time almost everything create a new highs (price discounts everything, anyone?). The so called crisis in the US is not real. There is no crisis at all, it's a stupid soap-opera on TV like CNBC, CNN, Fox, even OB, and other controlled media. Next year, ppl will already forget what's happening this year.
Elaine** * On Sun, Nov 30, 2008 at 11:37 AM, sulistyo_winarto < [EMAIL PROTECTED]> wrote: > Global Stocks Will Rally as Prices Hit `Extreme' Lows, RBS Says > > By Alexis Xydias > Nov. 28 (Bloomberg) -- Investors should exploit the "extreme > opportunity" presented by stock valuations that have overestimated the > extent to which earnings will slump, according to strategists at Royal > Bank of Scotland Group Plc. > While European earnings may decline a further 18 percent, current > equity prices suggest the market is predicting a 45 percent drop, Ian > Richards and Graham Bishop, strategists at RBS in London, wrote in a > report today. U.S. earnings may contract another 15 percent, they wrote. > "Risk premia have hit extreme, and unsustainable, highs," they wrote. > "This has driven valuations to extreme lows." The price of European > equities relative to trailing earnings may almost double as investors > attempt to anticipate the bottom of the recession, according to the > report. > "We look for the U.S. economy to lead recovery through the second half > of 2009," the note said. "Markets invariably pre- empt economic > recovery and we expect equities to rise substantially." > > >
