Stocks - Just an idea.

[RichardAWilson]

I know this isn't the place for this... but if anybody is sitting on savings. UYM and UYG is the way to go once things have stabilized.:huh:

Monetary Stimulus (from the Federal Reserve, European Central Bank and Japan) = good for oil, coal, natural gas, metals and commercial banking. Silver & Gold will also continue benefiting (metals). Not to mention Peak Oil & Natural Gas is starting to affect us. It's not that we're running out of oil, it's that it's becoming more expensive to drill our remaining reserves.

[RGacky3]

UYM and UYG?

[RichardAWilson]

They're leveraged financial and material Exchange Traded Funds. However, like I said, while they allow one to double the returns, they'll also lead one to double the losses.

P.S. In other words, pursue with caution.

[the Left™]

lol green party and aclu cappie telling us to buy stock :D

[RichardAWilson]

It's just an idea. Furthermore, name calling makes you seem so smart :cool:

[Henry A Wallace Brigade]

You should only buy stocks that are socially responsable.

[RichardAWilson]

UYM and UYG are short-term speculations, nothing more, nothing less. I believe there's room for around 30% annualized return as financials and materials recover from this month's freefall.

[RGacky3]

lol green party and aclu cappie telling us to buy stock http://www.revleft.com/vb/stocks-just-idea-t159361/revleft/smilies/biggrin.gif


yeah, because socialists should be stupid with whatever money they have, if buying stocks are smart then yeah.

Id like to see more of how the fund selects securities.

I don't know that much about the financials one, I personally don't think the financial industry (at least in the US) will ever return to its proper value. Materials perhaps, juts do to the somewhat fixed nature of the natural resources industry (you can't really move a mine, even if your selling to a different market).

[RichardAWilson]

you can't really move a mine, even if your selling to a different market


Bravo! Not to mention Peak Oil, Gas and Metal. Sure, there's always more. It's just that the more we drill and mine, the more expensive it becomes to drill and mine the remaining reserves. + China and India are still booming and China will surpass us in material consumption.

The same can be said for industrial chemicals.

http://www.proshares.com/funds/uym_daily_holdings.html


don't think the financial industry (at least in the US) will ever return to its proper value.

Oh, it will. It'll just take a long time. However, since this month's freefall, financials will move higher because they're just that undervalued.

http://www.proshares.com/funds/uyg_daily_holdings.html

[RGacky3]

Bravo! Not to mention Peak Oil, Gas and Metal. Sure, there's always more. It's just that the more we drill and mine, the more expensive it becomes to drill and mine the remaining reserves. + China and India are still booming and China will surpass us in material consumption.


How much of the natural resources industry do you think will be dominated by US companies though?

I'd think they should still be fine, even if they are diong buisiness and selling elsewhere, but whats your opinion?


Oh, it will. It'll just take a long time. However, since this month's freefall, financials will move higher because they're just that undervalued.


Do you really think they are undervalued? Based on what? I would say they were way way overvalued before, they may have gone through some swings, but based on what are you saying they are undervalued? (I'm not saying I don't believe you I'm just asking).

[Kamos]

I wouldn't touch the stock system and all the capitalist machinations with a ten foot pole.

[RGacky3]

so I take it you keep your money under your matress.

[Kamos]

so I take it you keep your money under your matress.

So I take it you are thinking "hurr, this guy sure has a bank account so I'll just deliberately misunderstand his post and ridicule him for the heck of it". Yes, I have a bank account, smartass.

[RGacky3]

Banks are Capitalist machinations, my point is you should put your money in whatever is the smartest place to put it in.

If you don't have a good amount of extra cash I would'nt put it in the stock market, but if you do, and you know what your doing, it can be smart.

[RGacky3]

I also think short term bets on industry and manufacturing might be good, by short term I mean a couple months, I think industrial manufacturing is undervalued, you have a lack of demand and the law of diminishing profits has applied to manufacturing lately, however, I think people have been freaking out somewhat by industrials and manufacturing shifting around, but I think you'll see increasing demand in the BRIC countries, and as labor costs stay relatively low I think manufacturing will be absolutely fine and jump up.

[RichardAWilson]

Well, UYM (Materials) and UYG (Financials) have both appreciated over 10% from a week ago. :cool: John Maynard Keynes's "Animal Spirits" are still alive and well.

In manufacturing, I like companies that benefit from capital expenditures (Technology and Communications). Low interest rates and monetary stimulus (Printing Money) tend to flow into those sectors before flowing into the general economy.

We all know this isn't sustainable in the long run. However, for the short to medium term, it'll inflate stock values.

Interest rates on savings are closing in on zero. You'd be better investing in a conservative dividend yielding stock. There are a number of old companies in traditional markets that offer dividend yields that are higher than the yield on 10Y Treasuries. Pfizer is one idea.