Skip navigation
By: CNBC.com | 01 Dec 2010 | 03:16 PM ET
Text Size

CNBC's Boldest Predictions
Photo credit: Adam Gault | OJO Images | Getty Images
There's nothing like a bold, even outrageous prediction, and in compiling some 150 predictions from three-dozen staffers and contributors this year, we came away with some out-of-the-box prophecies. Though they may be bold, they are certainly in the realm of possibilities. So, take a look at who at CNBC is saying what, in their own words.Posted Dec. 1, 2010

16. The Fed Ends QE2 Program in June
Photo credit: Karen Bleier | AFP | Getty Images
"The Federal Reserve, responding to intense political criticism and an improving economy, ends its QE2 policy after purchasing Treasuries in June. The Fed will avoid punitive legislation ... GDP growth of nearly 3 percent will ease pressure on the central bankers. By year-end, speculation will be percolating about the first Fed rate hike, which could come in early 2012." — Greg Valliere

15. U.S. Stock Prices Soar
Photo credit: Spencer Platt | Getty Images
"Buy, buy, buy . ... I’m calling Dow 14,000 by this time next year. Why? Highly productive firms only need a little growth right now to blow the doors off. They won’t get a lot of growth in 2011 in the U.S., but with high productivity, strong global growth, and fewer competitors, they’ll get enough." — Tony Fratto

14. Apple's Mac App Store Rocks PC Software Distribution
Photo credit: Getty Images
"Computers will get download-based app stores like the ones phones already have, opening up a new era for software entrepreneurs. If Apple's iOS success is any indication (and I say it is)the Mac app store will spawn imitators. The app store is likely to help Apple continue its PC market-share gains..." — Jon Fortt

13. Chinese Health Reform Will Drive Growth
Photo credit: ChinaFotoPress | Getty Images
"Beijing’s ambitious plan to rebuild its health care system by 2020 will continue to fuel investment in hospital expansion and medical equipment, presenting a double-digit growth opportunity for major equipment makers ... The market also poses huge growth potential for the pharmaceutical companies; Chinese spending on spending on prescription drugs is expected to grow more than 20 percent year over the next decade." — Bertha Coombs

12. Crude Oil Prices Surge Past $100
Photo credit: Getty Images
"Several reasons why this is a shoe-in ... Even though the dollar gets a bounce from the safety trade, especially when investors are running from European default, the trend in the dollar is lower as we dig ourselves deeper into debt. Another reason is the fundamentals. As economies around the world recover, we'll keep gulping down that light sweet crude in greater quantities."  — Melissa Francis

11. Consumers will return to spending.
Photo credit: Panoramic Images | Getty Images
"Yes, consumers will be more frugal, but the negative pundits will be shocked that people actually do buy presents this holiday season. Sales will not only be better than last year but even mildly reminiscent of previous years. ...This holiday season will cause many to wonder about the sanity of the American public as consumption returns. Never underestimate the motivation of the American public to spend. " — Michael Yoshikami

10. America's Inflation Problem Becomes Evident
Photo credit: iStock
"Yes, the intelligentsia fears deflation above all, but for this space, the comment on inflation is this: Just ask China. Whether it be food or clothing, costs are already on the rise—around the world. Talk to people who shop every day. From horse feed to waffles, they'll tell you their wallets are lighter, and they're surprised about all the deflation talk." — Brian Shactman

9. Bonds Keep Booming
Photo credit: Comstock|Getty Images
"The secular bull market in bonds should continue through 2011. Bond investors may fear inflation, but ... secular changes will keep driving rates on all fixed-income securities to record lows—Treasuries, munis, and corporate bonds alike." — Gary Kaminsky

8. Euro Weakens Further, Nearing Parity With the Dollar
Photo credit: Thomas Northcut | Photodisc | Getty Images
The move will come as it becomes clear to the currency markets that growth in America is stronger than anticipated and that Europe's peripheral countries will need to restructure their debts. The big winner from this depreciation will be Germany, which will see export volumes continue to surge." — Guy Johnson

7. Ford Has Most Profitable Year Ever
Photo credit: Ford
"This really isn't much of a stretch given Ford Motor is currently having one of its best years ever. But in 2011, as North American sales pick up and Ford enjoys the benefits of a full year of sales from the Fiesta and Explorer, along with roll out of the re-designed Focus, Ford will crank up the profits. The roll Ford is enjoying right now is reminiscent of when Toyota was in the sweet spot a few years back." — Phil LeBeau

6. US Undergoes Nuclear Power-Plant Building Boom
Photo credit: Getty Images
"Summer-time brownouts and shovel-ready sluggishness will spark a national effort to build a nuke in every state — 50 fast-tracked, nuclear power plants to create jobs and juice needed for a great future." — Matt Nesto

5. Stars Will Monetize Their Brands
Photo credit: Getty Images
"Celebrities, who both create and curate content, will increasingly monetize their brand value. Will Smith, Ryan Seacrest, Kim Kardashian, and the like will sell content and merchanise directly to fans. We may see some celebrities self-finance videos and distribute to consumers, cutting out media conglomerates." — Julia Boorstin

4. Netflix Sells Off and is Acquired
Photo credit: Getty Images
"Netflix's stock gets rocked as the company's margins take a hit, the result of a price war over video streaming ... The stock will lose three-quarters of its value, as the market for streaming video becomes more competitive and commodity like, and Netflix will be acquired. After a lengthy bidding war, which drags in Apple and Amazon, the winner is: Google." — Herb Greenberg

3. New Pressures for Banks
"Banks will be under renewed stress as housing prices fall and loan losses reaccelerate. Another round of capital raises may be in the offing as more and more banks find themselves undercapitalized .... Bank failures may also accelerate, and industry consolidation will result in an even higher concentration of assets held at a handful of huge banks. Investors will seek out the strongest, best capitalized banks and avoid the undercapitalized." — Michael Farr

2. US Military Action in Yemen
Photo credit: John Miles|The Image Bank|Getty Images
"Due to growing terrorism fears over a disintegrating Yemen, there will be direct U S military action there. Concerns about terrorist activities spilling into Saudi Arabia, Yemen’s neighbor to the north, will amplify concerns over the region and engender significant action against Al Qaeda assets in the country." — John Kilduff

1. Jamie Dimon Retires
Photo credit: Toshifumi Kitamura | AFP | Getty Images
"Next year, Jamie Dimon will reach his 55th birthday. Why would he retire at this point? Because his job is over. Under his leadership, JPMorgan Chase has emerged as the most successful of the country ' s biggest banks. Almost alone among his peers, Dimon made it through the financial crisis better off than he entered it. Dimon may stay on as chairman of the board, however." — John Carney

© 2012 CNBC.com
Tools:
Add This share icon

CNBC HIGHLIGHTS

  • Greek Elections
  • Critical elections are scheduled for Greece in June. Here are some of the players and their roles.
  • Our financial system is still not designed to meet the needs of poor families, says this author.
  • Statistics show there aren’t many women billionaires compared to their male counterparts. Why?
  • Click to see various forms of funding and what entrepreneurs have used to build successful companies.
  • Burj Al Arab Hotel, Dubai
  • Here are some of the most expensive hotels in the world to book. And we mean expen$$ive.
  • Always drink responsibly and when you do, try one of these more unusual and tasty drinks. Cheers!

MORE SLIDESHOWS

Current DateTime: 04:51:40 29 May 2012
LinksList Documentid: 29778428

Current DateTime: 12:40:01 29 May 2012
LinksList Documentid: 29779196

Current DateTime: 04:35:16 29 May 2012
LinksList Documentid: 29779197

Current DateTime: 03:35:38 29 May 2012
LinksList Documentid: 29779199
CNBCCNBC
About CNBC  |  Site Map  |  Video Reprints   |  Advertise  |  Help  |  Contact
Privacy Policy  |     |  Terms of Service  |  Independent Programming Report
  Data is a real-time snapshot  *Data is delayed at least 15 minutes
Global Business and Financial News, Stock Quotes, and Market Data and Analysis

© 2012 CNBC LLC.  All Rights Reserved.
A Division of NBCUniversal
Thomson ReutersThomson Reuters