Money is moving out of the energy sector. What areas of the stock market stand to benefit the most?
Answer:
Insurance, retail, brokerages, and technology have been getting lots of money lately.
I know the stocks I've been looking at in those sectors have! :-)
Hope that helps!
Technology and retail.
I think technology and biotechnology are going to benefit from sector rotation in the coming months.
Here are a couple of sites that I read to stay current on the markets and news....
http://tech-stocks.org/
http://biotech-news.org/
Rest homes, medical REITS and medical supplies might be the best long term holds as the baby boomers retire fully in about 11 years (when the last of them retire).
Right now retail looks to benefit as Christmas season starts next month.
Retail is tough, particularly with the economy showing signs of weakening and the housing market in a down turn.
I agree with the call on Bio-Tech. I think there will be some explosive growth in that area in the coming months.
I concur about bio tech and pharma. There are some undervalued companies in that sector that should get some attention in the near term.
Buy what is out of favor. : )
Financials- Banks etc. CPI was in-line, the Fed looks as if it may be done with rate hikes, and inflation looks to be in check, coupled with oil and gas prices comming down. Financials have been roughrd up due to a inverted or flat yield curve. They borrow short, lend long, they profit from the spread. If the Fed starts cutting rates next year. that will bring down their costs and fatten their profits.
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