Just ignore market and economic forecasts

Stocks are about to plunge!

Before you panic, this isn’t my forecast and it wasn’t made today. That was the warning from Wells Fargo strategist Gina Martin Adams on September 20, 2013.

The S&P 500 index had closed the prior day at 1,726, and Adams was predicting a significant downturn in the market. Specifically, she forecast that the S&P 500 would close out 2013 at a meager 1,440.

In fact, she had been bearish all year. And up to that point, the market had resolutely ignored her as the S&P 500 advanced steadily from its 2012 close of 1,426. After her September prediction, the market continued to ignore her call for a major correction and actually closed the year up at 1,848 — 28 percent higher than her forecast.

Read the rest of the article on CBS MoneyWatch.