The Santa Claus Rally - What Are The Odds?

So far--there are steep declines on Wall Street this morning-- with all the major markets moving lower. As of 11:25 am the Dow was down more than 100 points. But--is there still a chance at a Santa Claus rally heading into the end of the year?

On Morning Call CNBC's Liz Claman got some answers.

According to Edgar Peters--who is Chief Investment Officer at PanAgora Asset Management--it's possible Santa showed up at the Macy's Day Parade and that's it. But it's also possible we'll have a positive tone--but not an overwhelming rally. A bit of a mixed bag.

John Merill is Founder and CIO of Tanglewood Capital Manager. He believes the market is refreshing itself after a long upward run. Merrill says a 2-4% pull back would be positive. But he's very bullish on the market for '07.