Raymond James’s Saut Sees 12% S&P 500 Drop in 2011 Echo
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U.S. stocks may be poised to decline as much as 12 percent as market conditions bear similarities to what prefaced a tumble in 2011, according to Raymond James & Associates strategist Jeffrey Saut.
The Standard & Poor’s 500 Index sank 19 percent between April and October of 2011 as S&P’s downgrade of the U.S. government credit rating exacerbated a selloff. The benchmark index is vulnerable to a dip of between 10 percent and 12 percent in the weeks ahead before the bull market continues for years, Saut said in a research note.