The stock market has become overheated since exploding off its March lows and could be in for a strong correction, economist David Rosenberg told CNBC.
âIt is overvalued by at least 20%,â Rosenberg, formerly chief economist at Merrill Lynch and now with Gluskin Sheff & Associates, said in an interview. âBut it comes down to what your view in corporate earnings (is) going to be. By the time youâre up 60% from any egregiously oversold low, youâve already got the earnings recovery.â
Source: CNBC, October 27, 2009.