Financial strategist market forecasts are worthless, but not useless

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In Sunday’s New York Times, Jeff Sommer complains that financial strategist forecasts for market returns are terrible. They are. But they are a little better than guessing. And they have value nonetheless. Sommer’s critique Sommer thinks the forecasts of economists and financial strategists are way off. Here’s his critique: [T]he stock and bond markets are swinging haphazardly, … Continued

Analyst Gene Munster says Amazon will buy Target. Is he right?

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On New Year’s Day, Gene Munster, former Piper Jaffray analyst and currently a venture capitalist at Loup Ventures, predicted that Amazon will buy Target. This prediction got picked coverage in hundreds of publications yesterday. Let’s look at why analyst types make predictions like this, how accurate those predictions are, and what they do for the … Continued