I am joining in the fun and releasing my predictions for 2009. See you back here at the end of 2009 to see how I fared. What do you predict for 2009?
1. The Dow will exceed 12,000 FAILED
In October 2006 the Dow Jones industrial average crossed over the 12,000 mark briefly for the first time in its 112-year history. The Dow crossed the threshold twice, before retreating slightly, closing just under 12,000. Yesterday the Dow ended the day at 8,668.
2. Gas will stay below $2 a gallon in Kaysville FAILED
The price of gas here in Kaysville, Utah is currently $1.29 a gallon.
3. Proposition 8 will be struck down FAILED
Sadly I am predicting the worst for Proposition 8. With the California judicial, executive, and legislative branches all bent on reversing the will of the people look for Proposition 8 to be no more in 2009.
4. Gold will pass $1,200 an ounce SUCCEEDED
Since 1968 the price of gold on the open market has ranged widely, from a low of $252.90 an ounce on 21 June 1999, to a high of $1,023.50 an ounce on 17 March 2008. Since April 2001 the gold price has more than tripled in value against the US dollar. Indexed for inflation, the 1980 high of $850 an ounce would equate to a price of around $2,400 in 2007 US dollars.
5. Unemployment will remain below 7.5% FAILED
The 2008 national unemployment rate was at 4.9% in January and by June had risen to 5.5%. November saw joblessness at 6.7%. I expect the rate to keep rising but then level off and remain below 7.5%.