qcomer, Roubini stated several times that the stock market will keep rallying through the end of the year. Roubini did not say the stock market would fall now. I don’t know why people keep changing his words.

He calls it a sucker’s rally, because it’s based on a false hope that the economy will have a soft landing, and that the Fed will lower interest rates to prevent a recession. But he says, just like in 2000-2001, when GDP fell in 3 consecutive quarters before the recession, and a Fed rate cut did not prevent a recession, it will not prevent it this time either. So many people on his blog slam him because the recession is not here, but his prediction is for the recession in Q1 or Q2 2007, and for the stock market to fall sometime after the end of 2006.