In This Issue:

•The Fate of the Carry Trade: Concerns over its unwinding are overstated, says S&P

•STARS Status: Changes in S&P analysts' STARS rankings for December 18 through December 29.

•Spirited Upscale Spending: Higher gas prices didn't deter the well-heeled from shopping till they dropped.

•Bright Ideas: Here are our analysts' favorite stocks for 2007 - in the United States and beyond.

•Seven Predictions for 2007: The fast-changing Internet will transform itself in 2007, according to S&P Equity Research.

•Master List Stocks Update: Our three supervised Master List groups of stocks, recommended as core holdings for long-term investors, are regularly featured on these two pages. The mall/Mid-Cap Growth Portfolio is highlighted this week.

•Harness Our Quant Power: Standard & Poor's Neural Fair Value 25 Portfolio buys what are deemed undervalued issues with superior return potential.

Some of the Companies Featured:

Abercrombie & Fitch
Carlisle
Cimarex Energy
Covance
FedEx
FTD Group
Goldman Sachs
Johnson & Johnson
Procter & Gamble
Quiksilver
Robert Half International
Superior Energy Services
Texas Instruments
Wachovia
Western Digital

S&P Information Products

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S&P Industry Surveys
S&P Industry Stock Reports
The Outlook
Search Engine Survey
Pocket Guides
Power Picks

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