Investments to avoid

The business cycle has two major phases:
  1. stronger than average growth and
  2. weaker than average growth.
Commodities - as I have been writing ad nauseam - do not perform well in a weaker than average economy.

Caterpillar sales record proves my point (see above chart). Commodity-sensitive asset classes and investments do not perform well in a weak economy.

George Dagnino, PhD
Editor, The Peter Dag Portfolio
Since 1977
Author, Profiting in Bull and Bear Markets

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