Friday, June 28, 2013
Worried About Investing In 2013 Buy American and Prosper burberry handbags
Worried About Investing In 2013 Buy American and Prosper comments, called-outComment NowFollow CommentsFollowing CommentsUnfollow CommentsComment NowFollow CommentsFollowing CommentsUnfollow CommentsMove up tMove downThe FORBES Guide To The Fiscal CliffAbram BrownForbes StaffHow To Invest After The ElectionRandy WarrenContributorBetting On Volatility? Think Short-TermRandy WarrenContributorFlashback: Warren Buffett's Buy American Report CardSteve SchaeferForbes Staff Given all the concern surrounding the Fiscal Cliff, the answer might come as a surprise. Think American! Have you noticed lately that energy prices are coming down? We have become so accustomed to rising energy prices it鈥檚 shocking to see anything different. That said, if energy prices continue to stay low through the coming year, investors holding U.S. companies will benefit in the following ways: The American consumer will eat out more often, benefiting the likes of Panera Bread (PNRA),Chipotle Mexican Grill(CMG), etc.The American consumer will increase spending on a variety of goods, like clothing from Under Armour (UA) and Ralph Lauren (RL) or gadgets fromApple(AAPL). Rather than continuing to cut budgets, families will splurge on luxury items like Lululemon Athletica (LULU) workout gear andCoach(COH) handbagsrporations will also benefit from a lower cost of fuel, most notably the airline industry. Airlines have made numerous changes that will translate into huge profitability gains if fuel costs dive (pun intended). They have retired their old, energy-hogging jets and have invested in newer, more fuel-efficient models. They have also reduced their available inventory of seats, causing the average ticket price to rise, leading to revenue increases.Grocery stores and food producers will see gains from lower fuel costs because it will simply cost less to get their products to market, with benefits accruing to companies like Hain Celestial (HAIN) and Whole Foods (WFM).Although users of oil may benefit and oil prices may fall, pipelines will still continue to do exceedingly well.Opportunity does not only exist burberry handbags on the upside. With oil prices falling, there may be less urgency with regard to the conversion of old truck engines into fuel-efficient models. Companies that may suffer includeCummins(CMI) andOshkosh Finally, consider homebuilding, which is taking off all across the country for the first time in over five years, creating a potential for positive opportunities associated with everything related to a home, from Home Depot (HD) and Owens Corning (OC), to Lennar (LEN) and Whirlpool (WHR). Rather than taking an emotional approach to investing based on your personal ideas about the political landscape, focus on the opportunities for growth. The Warren Financial Big Dividend strategy focuses on companies that pay dividends, so we are taking our own advice and trying to stay all-American as much as possible. The U.S. has plenty of opportunities today and in the future, so take a look at your own portfolio and see where it might make sense to think American and prosper. Disclaimer: This should not be considered a solicitation to buy or sell, nor a recommendation to buy or sell any security. Investors must do their own research and consult their own investment advisor. burberry handbags
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