1Finance

Longtime stock-market bull Jeremy Siegel warned that equities could be in for a correction amid a possible rate hike by the Federal Reserve next month. "The next six or seven weeks are going to be very rough," the well-known Wharton School finance professor told CNBC Monday afternoon. Jitters over a likely September rate hike combined with weaker corporate earnings due to falling oil prices, a strong dollar and seasonal weakness in late August and September will make it difficult for stocks to work "much higher" over the next six or seven weeks, he said. Once a rate hike is out of the way "and world doesn't end," a "nice rally" could follow in the fourth quarter, he said. Siegel said he's sticking with his call for the Dow Jones Industrial Average DJIA, +1.39% to hit 20,000, but said that target would be difficult, though not impossible, to hit by the end of the year.

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