Red Charts and Golden Opportunities

Since last week: 

The Fed hiked interest rates and the fallout was immediate. This looks like the start of the pain Chairman Powell said was coming. 

Red Charts and Golden Opportunities.

1. In the Red

Following news of the Fed rate hike, the major indexes all took a hit, sliding several percentage points over the course of days. This is something you’re going to have to get used to, because it’s probably going to happen again the next time Powell and company hike interest rates. There are certain ways you can invest to protect your assets when that happens. 

2. Gold Getting Ready to Move

Gold saw a slight surge following the rate hike announcement. People are waking up to the fact that it’s one of the best avenues for preserving wealth in this kind of economic environment. One play in particular is going to be one of the best ways to play it.

3. Growing Solar Capacity

Did you know that half the generating capacity for solar power was installed in 2021? That’s according to a new report released by the US Department of Energy. Costs are dropping at the same time that we are looking to get away from fossil fuels, so this trend is going to continue. Investors who put money behind the infrastructure that will support these installations will do very well. 

4. Coal Conversion

The Department of Energy also released a study showing that 80% of the country’s coal power plants could be converted to nuclear plants to help reach the goal of net zero emissions by 2050. Money could be saved because infrastructure is already in place and nuclear power is gaining more acceptance from the public by the day. If even a portion of these plants were to be converted, that would just make uranium mining companies, and their investors, richer. 

What to Look For:

We still need to wait and see just how far things are going to fall. The only thing that seems certain at this point is that what we’ve seen over the past week is just the beginning.

Ryan Stancil

Ryan Stancil
Editor, Daily Profit Cycle