During the last two weeks, news of a 50/50 chance of a recession looming in addition to S&P’s downgrade of U.S. debt caused the stock market to fall, then recover almost half-way.
During the correction, I was wanting to purchase stocks on my radar, but had little cash to spend. I was all invested.
The stocks I feel won’t be market leaders in the next year are energy stocks. Oil won’t be in as much indemand if the economy stalls. Oil stocks will be value plays, the type you hold a while.
Meanwhile there are other stocks that are market leaders (well were anyway) that I don’t yet own. So I’m taking advantage of the recent rise in the stock market to sell Suncor Energy (SU) and Peabody Energy (BTU). Both are good stocks, I just wish to have spots available in the portfolio to purchase stocks I like better.
I think the market will come back down some in the coming week or two and believe I’ll have an opportunity to purchase the stocks on the radar that I like. Hopefully at a reduced price.
