Two major headwinds for the economy


The economy will grow slowly. Why? Because two major sectors of the economy have reached a cyclical top.

The above charts shows two graphs: housing starts (red line, right scale) and auto sales (blue line, left scale).

The two lines show both markets have reached a saturation point, as I discussed in detail in The Peter Dag Portfolio. These two sectors will grow very slowly.

Their slow growth will be two major headwinds for the economy.

You will find more details on how these ideas apply to portfolio management in The Peter Dag Portfolio on www.peterdag.com
George Dagnino, PhD
The Peter Dag Portfolio
Since 1977
Author, Profiting in Bull and Bear Markets
No. 1 bond timer in the past 12 months. 

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STRATEGIC INVESTING FOR UNCERTAIN TIMES. Learn how to manage your portfolio risk and sleep comfortably. Improve the certainty of returns by taking advantage of business cycle trends. Learn to use simple hedging strategies to minimize the volatility of your portfolio and protect it from downside losses.

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