Sean Brodrick, Editor of Wealth Megatrends and contributing analyst to Weiss Ratings Daily, joins us to outline opportunities that he is seeing in the more defensive sectors of insurance, cybersecurity, REITs, regional banks, and utilities, as geopolitical uncertainty increases, and as macroeconomic factors continue to weaken.
Sean points out the resurgence of the Japanese Yen leading to more carry trades unwinding, which could then be further exasperated if the Fed rate cutting cycle leads to any US dollar weakness versus the Yen. He points to the oil markets being subdued, with expectations for a slowdown in the US, European, and Chinese economies. While he doesn’t think a recession is imminent in the US, even though macro data is weakening, he does believe Europe is slipping into a recession without their access to cheap Russian natural gas.
One recent trend Sean highlights is the rotation out of the big tech leadership like Nvidia, Apple, Google, Taiwan Semiconductor, and into more defensive A.I. adjacent sectors like fintech, insurance, and cybersecurity. We also discuss the more defensive trend recently of investors rotating funds into REITs, regional bank stocks, and utilities for the better dividends and variable dividends.
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Click here to follow along with Sean’s work at Weiss Ratings Daily and Wealth Megatrends
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