video transcript

Not yet two months into the here at the Dow was up more than 6% already eating its advance for all of 2011. So perhaps it's not surprising that we're already hearing about -- 151000. That prediction coming from Jeremy Siegel the number crunching Wharton professor and author. We will. Be able to reach and surpass doubt 151000. By the end of next year the valuations. Today are extremely persuasive. I'll you know the price earnings ratios are below the long run average and what's very important. Is that yields interest rates are so low so when you compare the valuation of stock to the valuation of bonds. It's actually one of the most attractive. Comparisons. That we've had in many many decades. So does fifty K Stewart thing we asked several other market experts whether the Dow can hit that mark. Of course we can't we can get to 181000 this year also wrote to cut things could happen I'm not -- not a prediction on my part. In other Federal Reserve is printing a lot of money we have governments -- Japanese are pretty money in the bank giving -- got a lot of people printing money now so anything can happen. I don't know of any hits 151000 million next year but the trend is chairman is an old friend he's very bullish he's got a good book or two on the subject. And clearly he sees higher stock prices -- As long as things stay roughly the way they are. This market has an upward. Of 151000 moved it to the Dow is is really about thirteen -- -- double -- it's -- very reasonable. But some market makers like Joseph lives the aren't rushing to put in by orders judged her false doubt his 151000 by the end this year fall when does it. Doesn't. Why is that it is the number. Just a number don't get fixated on it. That he was also shared by James Glassman who authored the book Dow 36000. More than a decade ago. Let me say that my book was the based on some of the researcher Jeremy Siegel and and and Jeremy has has made some very good predictions in the past. I'm just not the prediction business and I think it's not a good idea. For most investors to do their investing based on. Somebody's notion of when the -- the S&P is gonna get to a certain level. And honestly there really is only one certainty about where the stock market -- next as legendary banker JPMorgan once quipped it will fluctuate. So you can bet when Dow 151000 eventually does occur it won't be a straight line up from here to there. I'm Rhonda -- this is Reuters.