While not all are technically 'predictions' here is a collection of market quotes from the past year:
--"A very powerful and durable rally is in the works. But it may need another couple of days to lift off. Hold the fort and keep the faith!" according to Richard Band, editor, Profitable Investing Letter, Mar. 27, 2008.
At the time of the prediction, the Dow Jones industrial average was at 12,300. By late December it was at 8,500.
--AIG "could have huge gains in the second quarter." said Bijan Moazami who is an analyst at Friedman, Billings, Ramsey on May 9, 2008.
AIG wound up losing $5 billion in that quarter and $25 billion in the next. It was taken over in September by the U.S. government, which will spend or lend over $150 billion to keep it afloat.
--"I think this is a case where Freddie Mac and Fannie Mae are fundamentally sound. They're not in danger of going under I think they are in good shape going forward." Proclaimed Barney Frank (D-Mass.), House Financial Services Committee chairman on July 14, 2008.
Two months later, the government forced the mortgage giants into conservatorship and pledged to invest up to $100 billion in each.
--"The market is in the process of correcting itself." Explained President George W. Bush, during a March 14, 2008 speech.
Given that the Dow Jones Industrial Average finished at 11,951 that day in March, it appears that the market continues to correct and correct and correct.
--"No! No! No! Bear Stearns is not in trouble." Jim Cramer of CNBC told his television audience on March 11, 2008.
Five days later, JPMorgan Chase was basically forced to acquire Bear Stearns with almost total government help, nearly wiping out shareholders.
--"Existing-Home Sales to Trend Up in 2008" read a headline from the National Association of Realtors in a press release dated December 9, 2007.
On Dec. 23, 2008, the same group said that November sales were running at an annual rate of 4.5 million, down 11% from a year earlier in the worst housing slump since the Depression.
--"I think you'll see (oil prices at) $150 a barrel by the end of the year" predicted T. Boone Pickens on June 20, 2008.
Oil was then around $135 a barrel. By late December it was below $40.
--"I expect there will be some failures. I don't anticipate any serious problems of that sort among the large internationally active banks that make up a very substantial part of our banking system." This comment from Ben Bernanke, Federal Reserve chairman February 28, 2008.
In September, Washington Mutual became the largest financial institution in U.S. history to fail. Citigroup needed an even bigger rescue in November along with many other banks who were forced to take capital infusions whether they wanted them or not.
--"In today's regulatory environment, it's virtually impossible to violate rules." According to Bernard Madoff, money manager on October 20, 2007
Madoff's hedge fund turned out to be a huge Ponzi scheme that collapsed leaving investors with almost complete losses.