The Dow Jones Industrial Average has seen a stock market crash, and some believe the market might not go much lower. Some are predicting a “bubble-bursting” stock market that has a myriad of positive effects.
The US stock market may be in the midst of its market’s market. With no better news from the White House, there is no confidence in the U.S. economy, causing investors to sell stocks as the market is seeing them fall. Some who are thinking about starting a new business or investing in a long term portfolio are now wary of their positions.
While it’s understandable to be wary, there’s no fear for investors with money tied up in the Dow. Stocks that make the cut are considered safe. Investors can buy into some big winners like Apple and Coca-Cola, but it’s still too early to tell if these companies will benefit from the Fed’s “taper” move.
What investors don’t realize is that a market drop of as much as 25% over the past month has affected companies with quarterly earnings. These companies have seen their profit margins and earnings plummet. As of now, investors still have many reasons to continue buying into these stocks. They still have profit margins, and they still have their quarterly reports.
There are many examples of companies like Ford and Caterpillar, but there’s one big name company that should be on everyone’s list. That company is GE. If you own GE stock, you’re pretty safe. You have an excellent company that has a huge presence in so many industries.
The company’s manufacturing operations include areas ranging from aircraft and carsto energy and durable goods. When a company like this is “green,” investors know they have a huge amount of opportunity.
When consumers buy gas, durable goods and food, those companies profit. As consumers become more environmentally conscious, some companies are losing market share. This could result in an increase in the cost of some products and a decrease in consumer demand.
Green companies have a great opportunity to grow their businesses and potentially increase their revenues. The market may be cautious in this way, but when people see opportunities they take them, whether or not the market gets too low, or high.
What’s next for the green field? Why not consider investing in energy-related stocks? With the crisis facing North America’s energy industry, investing in companies that work to reduce greenhouse gas emissions can only make sense.
If the market crash hasn’t impacted investor confidence, it surely will in the future. It’s natural for some stocks to decline during these downturns, but it’s never too late to consider additional ways to protect yourself.
Stock market crash or not, there are many sectors to invest in when you’re considering diversification. Be sure to research all options available to you, including one that includes energy stocks, as an example.
Consider doing some homework, and use one of the many options available to you – like the power of one of the best blue chip stocks. Investing in energy can do wonders for your portfolio, and help you when times get tough.