It’s no secret that the presidential election this November is sure to be one for the history books. And it’s also no secret that presidential candidate Hillary Clinton is every financial conservative’s nightmare.
What if Hillary Clinton is elected president in November? Her victory may bring disaster to the already scary market and economy. Are you ready?
The odds are against her winning, but I still have a clammy feeling about it. That’s why we must consider all of the “What if’s” and prepare for the worst.
What if the Internet is overvalued?
What if housing is a bubble?
What if it’s a credit bubble?
What if it’s a bear and the only safety can be found outside stocks, outside America?
What if Hillary Clinton wins in November?
2008 Is a Winner-Takes-All Election Year!
Listen, my friend. In every conceivable way, 2008 is the Winner-Takes-All year. It will be a vicious dog fight, but the outcome is sure to be a real shocker. Are you prepared for the possibility of the Clintons storming the White House? All the Democrats need to do is promise a disillusioned electorate “change,” and that leaves the Republicans defending the indefensible. We must face facts and prepare for the worst.
So how do we get ready for this possibility? Since 2008 is the Winner-Takes-All-year, you must own stocks–like oil stocks–that will thrive in this tumultuous environment. Most of the companies stashed away in the portfolios of conservative investors are ticking time bombs with slowing earnings, already showing up in quarterly reports, negative cash flow in 2008, narrowing operating margins and slowing sales growth.
You must get away from these losing stocks and own ones that will thrive in this tumultuous environment. > There won’t be many stocks that will–but the few that do will perform extremely well, even if the economy takes a hit. Let’s take a look at why oil stocks should prosper in 2008.
Bog Oil’s Platform
One of the key ways that the struggling U.S. economy has touched Americans is higher prices at the gas pump. Oil prices have skyrocketed to record highs, forcing Americans to empty their wallets to fill their tanks. No wonder oil stocks have done so well as of late.
Wall Streeters believe that relief in oil prices is in sight, reasoning that this economic slump in the U.S. will cause oil prices to plunge in 2008. But don’t bet on it. OPEC has become addicted to high oil prices, and they’re ready to close down production if oil dips below $80 a barrel. And not to mention that the White House has been aggressively buying oil and stocking it away in the Strategic Petroleum Reserve. This buying pressure will continue to push oil prices higher in 2008. And you can bet oil stocks will benefit from this.
The reason why the White House is scrambling to double the amount of reserves is simple to grasp: Stable prices at the pump soothe an inevitable electorate. And at $3.50 a gallon, everyone may grouse, but no one’s trading cars for bikes.
Big Oil’s Big Rise
Meanwhile, of course, 6 billion people worldwide are doing the opposite and trading in their bikes for cars. So count on higher oil prices in 2008 — spiking up to $150 a barrel, no doubt.
So how do we profit from this trend? Oil stocks. Home grown pipeline layers and refiners are the smart way to play the high oil prices we’ll see this year. These companies offer the safety of domestic investments, as well as dependability during rough economic times. Buckeye Partners (BPL) pumped out a sweet mix of dividends, safety and growth (total return was 20%) for Young’s Intelligence Report subscribers in 2007. And with a price-to-earnings ratio of just 16 and still not enough pipelines in the U.S. to meet demand, it’s a no-brainer.
Kinder Morgan’s (KMP) pipeline business is simple and predictable — huge pluses in this particular business. The company’s new pipeline gets natural gas from the Rockies to Pennsylvania for the first efficient market in this resource ever. It’s an exciting project, and it will surely pump plenty of cash (a 7% yield!) to shareholders.
If you are ready to start profiting from oil’s inevitable price rise and learn about other ways you can prepare you investments for the changes coming in 2008, join Richard Young’s Intelligence Report today! Sign up right now, and you’ll also get immediate online access to 7 of Richard Young’s special reports! Try Intelligence Report for a full six months at absolutely no risk. If you’re not 100% satisfied, if you’re not making healthy investment returns Richard Young’s advice, or would like to cancel for any reason, just call us during your first six months and we’ll refund every penny of your subscription fee! It’s that simple! Sign up today!
