2008, the financial institutions contribute about 40%-50% of GDP, what happen if is wipe out in 3rd Quarter of 2008 and 2009?
Ohh no, the US dollar is sinking!
MyView
- 1st Choice. The US has to deleverage (may take a little while, since the administration is printing more money): Not continue to spend like what it is done in last 10yrs and in 2008 & 2009 (stimulus package). Solution: GOLD, Gold mining stocks, Silver, silver mining stocks.
- 2nd Choice. CHINA AGRICULTURE stocks is also recommended especially China, why, food reserve is historical low, land for agricultural is shrinking, participation by private sector shrunked (cause supply problem), 2009 & 2010 no new debt to finance agricultural stocks (supply shrink). As a result of hyper inflation in US, and devaluation in its currency, shortage of food crises!!
- 3rd Choice. CRUDE OIL or crude oil related companies, first to rebound in a recovery, shortage, cost of production is escalating as well potential of war!!
- 4th Choice. A bit difficult, but go for HIGH DIVIDEND YIELD stocks in Australia, HK, NZ, Singapore.
- 5th Choice. FIXED DEPOSITS, depends which country you are in, but not US, UK or high debts countries.
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