Doug it could help you, suite 101 article posted by IndexTrader has the follow : It fit my opinion. I think
Growth expectation is almost bottoming, inflation isn't a problem. Fed in ease Bias. I'm betting that the next rally
will be good for (Financial, Pharma, Tech and Medical)
Q: Which stocks should people focus on, then?
A: You want to avoid commodity companies, mining outfits and forest products and industries where they have no pricing power and have a tough time raising their productivity. Consumer stocks will be tough, too. Stock selection will be more important than it has been in 30 years.
Technology will still be a big, big place to go. Medical stocks will be a big area because of demographics. You will have to be particular but financials will be okay. Energy, has a two-year window, maybe longer, but at least two years where you are going to see a lot of emphasis on replacing drilling and production equipment that's been avoided for the last 25 years.
Q: What about bonds here?
A: We will not go into a deep recession, and by October I'm expecting a recession to be acknowledged by everybody. If it's acknowledged in October, Greenspan will admit it in November. I expect real interest rates to be at 2%-3% in the next six to nine months. Bonds are still a great place. |
