Who do you believe? âSuch echo rallies are never as big as the original one and we will see it fading away,â Ruchir Sharma, 35, who oversees $25 billion in emerging-market stocks at Morgan Stanley, said in an interview in Mumbai. âThe rally will end as the effects of the stimulus begin to fade and the credit bubble caused by easy money disappears.â Or âThe fourth quarter will be the Waterloo of the bears,â said E. William Stone, who oversees $102 billion as chief investment strategist at PNC Wealth Management in Philadelphia. âWe are in economic recovery both in the U.S. and globally, so you will eventually see revenue growth because you are seeing the recovery hold.â Or The U.S. economy faces âserious bumpsâ ahead that are likely to slow the pace of growth, Nobel prize-winning economist Joseph Stiglitz said. The economy wonât be expanding quickly enough to reduce unemployment, Stiglitz told a press conference in Beijing today. The economy will enter âa very gloomy periodâ of high unemployment, economist David Malpass, president of Encima Global in New York, told Bloomberg Radio. Or âThe stock rally is not over yet,â said Jeffrey Kleintop, who helps oversee about $247 billion as chief market strategist at LPL Financial in Boston. âThe stock market can celebrate. This news is an important confidence boost, in particular to individual investors.â This quarter was stacked full of incredibly lowered analysts' surveys on earnings' expectations, but remember kids: Earnings-per-share have exceeded the average analyst estimates at 81 percent of the companies in the S&P 500 that posted third-quarter results so far, which would be a record proportion for a full quarter, according to Bloomberg data going back to 1993. Still, profits have decreased 23 percent on average for the 295 companies that reported since Oct. 7. *COUGH, BULLSHIT EARNINGS & RIGGED EARNINGS' EXPECTATIONS, COUGH* Companies beat through a combination of rigged Wall Street chicanery on earnings projections, along with massive costs cuts (which they will not be able to duplicate going forward - no way). Caveat Emptor.