re: Stock plays in Response to Market Mediocrity

The basic premise of this video is capital preservation:

I have been squawking this for a while now among my investor circles.

Main trades:

-Energy: BP (if it hits 33 or under) and natural gas as it heads lower.

-Commodities: Gold and Silver

-Defensive: Walmarts, Dean Foods, etc


Summary:

I like these plays as they limit your exposure to Europe (besides BP but I believe oil will be headed up higher after this mess blows over). I am still bearish on Financials as any contagion fears as I have mentioned in the past could hit the financials as some of these Derivatives are deeply implicated by the big banks. If you are in financials look to limit your exposure as much as possible. Start looking towards the traditional banking types that are less leveraged like WFC, PNC bank, and some of your mid-size regionals.