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To: Red in Blue PA

Great, first time unemployment claims skyrocket and the secret on the economy is out, there is no recovery.


3 posted on 04/07/2011 3:14:25 PM PDT by Mouton (Government expands to fill any voids in freedom.)
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To: Mouton
"Great, first time unemployment claims skyrocket and the secret on the economy is out, there is no recovery."

Between your stats; the falling dollar; the moribund real estate market; the weak consumer confidence; the Fed printing money, I firmly believe we are heading to a second "dip" recession within this year.

While I suspected a "double dip", it didn't happen in 2010. So I didn't benefit from the increase in the market in 2010. Still, with the above, and the little I know about macro-economics, all trends are leading to a "double dip" recession, not to mention the world-wide conflagration.

So what's the best economic directions to take for your future? Well, I made out after the 08 crash by just throwing darts at good companies and almost got back up to where I was before the 08 crash. Unless, we crash again, which is a likelihood, than I'm still in cash. Still, I'm thinking about companies with growth potential and high dividends (5% or more) for now.

Do your homework and you can probably average a 5% yield until the market crashes from the next bubble, which is commodities. I'm actually thinking about shorting Gold/Silver, but not agriculture commodities - the world is growing and will need food supplies. I made a fortune in fertilizer.

Last thought: Don't follow trends - you will be always late to the party. "Buy on fear; sell on confidence". It works if you do your homework. I wouldn't buy Apple if some just gave me the money. Again, too late to the party. But it is time to buy consumer staples and energy, with exception of Chesapeake Bay. Think either large integrated companies like Exxon or smaller like Range Resources, Inc (RRC). I've already experienced 20% profit. Then again, if we go into a double-dip recession, any good wide moat company can make you a profit. Yeah, I know. I'm timing the market. It worked well for me in 2009, and with the double-dip that is coming from all above, it can work well for you.

37 posted on 04/08/2011 2:32:08 AM PDT by A Navy Vet (An Oath Is Forever)
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