A USA Today Poll surveyed 10 stock market gurus about their outlook for 2007. All of them expected gains of anywhere from 1.5% to 14.9%. When everybody is in agreement, it is usually a sign that the markets will go the other way. The index closed at 1418 for 2006.

I think the index will close up 10% for the year. Despite the economic slowdowns, the market will be supported by lower interest rates, expanding P/E ratios and robust corporate profits. The main factor that can throw this off is if the U.S. housing markets crash.

With oil prices dropping below $50, a lot of companies will benefit such as airlines and chemicals companies.