STOCK MARKET SUCCESS BODES WELL FOR 2011

This is great information to share with your Sphere of Influence as it will have a positive effect on real estate in 2011.

The Stock Market recently finished one of the strongest December’s ever to cap a powerful four month rally. Consider the following:

1. The Dow Jones Industrial Average ended the year up 11%;
2. The DJIA was also 20% higher at year end than its lowest point for the year on July 2, 2010;
3. In December alone the market gained 5%, nearly half of its gain for the entire year;
4. NASADQ finished the year up also at a strong 17%;

Most experts expect the market to be up an additional 11% in 2011. These experts cite the following as support:

1. Industrial activity is improving with manufacturing orders up;
2. Retail sales, according to credit card giant MasterCard had their best showing since 2005;
3. Emerging markets are surging;
4. Domestically, companies are flush with cash with strong profits;
5. Taxes are not expected to increase;
6. The market tends to do well after mid-term elections.

According to a Spectrem Group report, of 26 million American households analyzed, the top investment priorities will be to preserve principle.  Many of these investors are planning to invest in Real estate. This, along with historically low interest rates, will stimulate Real estate activity in 2011.