Roubini - S&P 500 to bottom at 720, or 500-600

Nouriel Roubini, in his latest post “The Latest Bear Market Sucker’s Rally is Losing Its Steam as an Onslaught of Awful Macro and Earnings News Takes Its Toll” states that US S&P 500 could bottom out, sometimes in 2009, at 720 or, in worse scenario, between 500 and 600. P/E ratios to reach 10 to 12.
The recession is to be a 24-month, U-shaped with a 30% possibility of turning into a L-shaped stag-deflation.