ENGLEWOOD CLIFFS, N.J., September 4, 2007 --- After a stormy market this summer, will market mayhem prevail? America's top investment strategists and money managers are bullish on September stocks and confident the worst is behind us, according to CNBC Trillion Dollar Survey released today during CNBC's "Street Signs" (2PM-3PM ET) anchored by Erin Burnett.
According to the snap survey taken today of more than 30 strategists, money managers and investment advisers, 65% say the bottom of the stock market correction has been reached and 31% feel we have more to go. Of those surveyed, 17% predict the S&P 500 stock index will go up in September with most looking for gains between 1% and 3%.
Survey results also reveal 81% of those surveyed say over the next three months U.S. consumers will pull back spending only a little in light of the nation's week housing market and turbulent financial markets. Of those surveyed, 19% say consumers will spend at the same rate as in recent years. While no one thought U.S. consumers would ease spending a lot, there is change expected at the Federal Reserve.
On average, expectations for a Fed rate cut are much stronger today than they were just over two weeks ago. During our August 17th survey, 54% predicted the Federal Reserve would not cut its Federal Funds target interest rates at or before its meeting on September 18. Now only 20% see no action coming this month, with 74% predicting a 25 basis point cut at the September meeting and another 3% calling for the cut to come before the meeting.
The nationwide survey of more than 30 strategists, money managers and investment advisers asked their opinions on topics including the stock market correction, the Fed Funds rate and U.S. consumer spending. The results were revealed on CNBC's "Street Signs" (2PM-3PM ET) and throughout the rest of the day today on CNBC, First in Business Worldwide.
For more details regarding CNBC's exclusive Trillion Dollar Survey and the official results, log onto CNBC.com.
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