Best places to invest in 2008
December 23rd, 2007 by helpfulfactsLook no further than Chindia, 2 economic powerhouses, both with explosive growth. Expect it for the next 10 yrs while the DOW and NYSE cannot sustain even half that amount. With a potential recession around the corner and a falling dollar, the economy of the US will remain flat. This will not translate well into thriving stock exchange. However, this does not mean all sectors of the US will fail to disappoint.
Technology is still in the upswing as Oracle, Cisco, Apple, Rimm, Google continue their dominance in the marketplace. Agriculture is also strong with commodity prices being pressured upward as energy costs continue to escalate. Look for companies to Mosanto to keep delivering excellent numbers. Another industry that may not be thought of much is shipping. Buffet has invested heavily into into BNI (Burlington Northern), a railroad company shipping between the East and West. Don’t forget RIG and DRYS as they continue to move shipments around. NOV, an oil play on the discovery of oil should be checked as well as they focus on the dominance of their drilling rentals.
Financials, you might think may have bottomed or have begun to bottom out. But the worst may be yet to come. Trying to catch the bottom of an industry is very difficult. Although the industry as of this writing is completely oversold, 24% on the BPI index, it is still risky. Homebuilders are in the same category and should be bought with very careful deliberation. The government may bail out the financial banks, but they will not be bailing out the homebuilders. Buy best of breed in the hottest sectors and avoid the fallout of what could be a challenging 2008.
Posted in Stock Market |
February 18th, 2008 at 11:22 am
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