David Rosenberg's bare case is a 39% drop in the S&P 500 to 3,200, citing market gains significantly outpacing corporate profit growth.
"The economist David Rosenberg believes there's truth to these claims that the stock market is poised to drop saying that just like the clown at a circus who keeps blowing up the balloon at some point the balloon is going to pop and a sort of look at the stock market right now as the clown of the circus blowing up the balloon his reasoning though is a lot easier to follow as he explains the S&P 500 is up 32% in the last 12 months while corporate profits Rose just 4% means that his bare case is an S&P 500 dropping to 3,200 or a 39% drop from today's levels unless companies can dramatically increase their actual earnings."
