Just thank Bubble ben bernanke and friends for this one too, without the extensive propping and free handouts calls like this one would never exist in 2010. Wow, now this has got to be the highest and most bullish call as of yet. All they had to do was say the SPX was going to historical highs next year, why even waste their time trying to pick an exact forecast. I just want to know what happens after 1550, do they go for 2000 in 2012. I mean these calls just keep going higher and higher. Just to think the credit crisis came and disappeared in only a few days and now fast forward to 2011 and banks are making calls that are just sky high. Even if the SPX runs to 1550 or 1650 or 1700 or even 2000 next year the next collapse will just push the SPX back below 1000 again. Its the same process all over again, hype the markets up, create all this excitement, create another bubble and let it collapse and repeat again. Deutsche Bank Sees S&P Hitting 1,550 Next Year CNBC.com | December 13, 2010 | 08:31 PM EST Deutsche Bank sees the S&P 500 reaching 1550 next year, well above some of the more bullish forecasts from Wall Street. Chief U.S. equities strategist Binky Chadha, in a note released late Monday, also issued a forecast for S&P 500 earnings per share of $96 in 2011, compared to the annualized $91.50 in the 2010 fourth quarter. He expects domestic profit growth of 7 percent. "Equities will re-rate in 2011 as the recovery continues, jobs growth picks up and credit growth resumes," Chadha said in the note. He recommends overweighting domestic cyclical stocks and underweighting defensives. He is neutral on global cyclicals. "Q4 earnings are set to beat again; allocations to equities at the beginning of the year could be significant," Chadha said. Investors may also start to pull money from bond funds and put them into stocks by mid-year, Chadha said. He noted that the recent rise in Treasury yields has driven outflows form bond funds, in a break from the pattern of the last two years. That reallocation so far has been into money market funds. "Reallocation to equities may require clear expression from the Fed that it was done trying to lower rates for the cycle; we expect the Fed to do this by mid-2011," he wrote. Chadha's target for the S&P 500 for the end of this year is 1275. The S&P closed Monday at 1240, up less than a point. Other strategists have recently rolled out forecasts for 2011. Goldman Sachs [ GS 169.48 +1.01 (+0.60%) ] has a target of 1450 on the S&P 500, while Barclay's Capital has a target of 1420, and J.P. Morgan [ JPM 41.51 +0.08 (+0.19%) ] has a target of 1425.