Here she recommends to buy gold, invest in stocks with discrimination and keep your money liquid in treasuries.

This from Sandy:

The stock market did not react well to the government’s $787 billion economic stimulus plan.

On Feb. 23, 2009, the Dow tumbled to 7,114 – hitting an eleven-year low. The other major indices, including the S&P 500 and the Nasdaq, fell as well.

The latest economic numbers aren’t any better. The price of single-family homes plunged 18% and the Consumer Confidence Index, which was down slightly in January, plummeted more than 12 points in February to 25.

The combination of bad economic news and a tanking market means this recession will take longer to recover than most analysts expect.

Bombarded by bad news, average investors are on the verge of dumping all their shares entirely. But is that best thing to do with your money now?

The answer is no. Here are a few investing strategies that make sense given the current market conditions…

(1) Buy gold. The surge in gold prices means investors are anxious to protect their capital against inflation, currency depreciation and bank failures. The rise in gold (which is sitting near $1,000 an ounce) is consistent with other indications that the market is bracing for a delayed upturn in inflation between 2010 and 2012.

There would have to be “growing positive sentiment” towards the banking sector before gold prices fell. But that isn’t likely to happen anytime soon. Morgan Stanley came out with a report saying that gold would go up over the next three years. The reasons: a falling dollar, higher inflation and a flight to safety.

Morgan Stanley predicts gold will average $1,000 in 2010 … $1,050 in 2011 … and $1,075 in 2012, up as much as 34% from previous estimates.

Adam Lass, senior editor of WaveStrength Options Weekly, suggests buying shares of the SPDR Gold Trust. Adam writes, “I expect the dollar to resume its habitual relationship to the euro, yen and gold shortly, and recommend that investors continue to buy shares of the SPDR Gold Shares Trust (GLD:NYSE), which has gained some 25% over the past four months.”

(2) Buy stocks, but do so discriminately. This week the Dow fell to levels not seen since 1998. One year ago, the Dow was sitting at 12,694. As I write, it’s at 7,365. But you don’t need me to tell you this. You see the damage to your portfolio every time you look at your 401(k) statements.

As prices decline, this also means there are companies you can buy for less than the cash they have on hand. In fact, in an academic study done by Berardino Palazzo of New York University’s economic department, he found that companies with highcash-to-assets carry a positive premium for investors. Palazzo explains, “Firms that are sensitive to economic shocks tend to use cash holdings as a hedge against future cash flow shortfall, and this conservative management approach pays off.”

There are certainly plenty of companies with cash on hand to choose from. In a study done by Jason DeSena Trennert, managing partner and chief investment strategist at Strategas Research Partners in New York, he found corporate balance sheets showed that cash as a percentage of total assets is as high as it’s been since the 1960s.

Chris DeHaemer of BreakAway Investor offers these companies for consideration:

**AuthenTech (AUTH:NASDAQ) is a technology company that provides fingerprint authentication sensors. Its fingerprint sensors allow users to access and control multiple functions on an electronic device by touching or sliding their finger across the sensor. The sensors are used in various applications related to security, password replacement, financial transaction authentication and personalization applications.

Its sensor-related products are used in GPS navigation systems, cell phones, memory keys, laptops… even desktops.

The company has zero debt and roughly a cash equivalent of $2.21 per share. It currently trades around $1.37 per share.

**Exxon Mobil (XOM:NYSE). If you prefer a non-technology-related company, there’s always Exxon Mobil with $39 billion in cash, which is equal to $7.72 total cash per share. Exxon reported a profit of $45.2 billion for 2008. This amount breaks the record for an American company.

Zachary Scheidt of Taipan’s New Growth Investor suggest buying companies in sectors that will continue to thrive during this economic crisis.

One such sector is healthcare. There are basically four individual factors that combine to make this quite an exciting opportunity:

• Stability and growth: Healthcare stocks offer plenty of stability, but the growth is potentially astronomical;
• Demand has little do with economics: A person’s health sits right at the top of just about everyone’s priority list;
• Demographic trends point to more demand: The current population (domestically and internationally) is aging and in need of more care than ever seen in the past;
• Political agenda favors healthcare: One of Obama’s campaign promises was to re-work the healthcare system and to make sure affordable care was available to all.

(3) Another way to protect your money is to keep it liquid in treasuries or certificates of deposit.

Because of the scandal that broke loose with the SEC charging Allen Stanford in an $8 billion fraud case (using certificates of deposit), you’d think that all CDs are time bombs.

But that’s not the case. The dead give-away in the Stanford case is that his “certificate of deposit” promised double-digit returns. Stop right there. Certificates of deposit don’t yield high returns. They’re low risk, which means low yield.

A CD has a specific, fixed term – often three months, six months, or one to five years – and carries a fixed interest rate. They are also insured by the FDIC (up to $250,000). The longer you are willing to have your CD investment locked up, the higher the CD interest rate your bank will offer you.

CDs are best used for cash that you want to stay liquid. As the market continues to implode, you might want to consider putting a portion of your money into a CD. As the market begins to bottom out, you’ll have access to that cash to buy stocks at reduced prices.

While most major banks offer CDs, we recommend the Ultra Resource Index CD offered through EverBank. EverBank asked our group’s opinion on creating a CD that would allow investors to take advantage of global markets.

We suggested a CD made up of six countries with strong resources and strong cash reserves, including Australia, New Zealand, Singapore, Hong Kong, Canada and Norway. You can lock in terms for three to six months with no account fees.

EverBank is a healthy and stable company. It enjoyed strong growth during the first three quarters of 2008, posting a 129% increase in earnings compared to the first three quarters of 2007, or $50.1 million. The company also has assets worth $6.5 billion and serves 440,000 customers worldwide.

I do have to tell you that we have a business relationship with EverBank, and we receive a financial benefit from the sales of this product. But we firmly stand behind EverBank and their products and think they are a solid way to grow your wealth.

If you’d like to learn more about the Ultra Resource Index CD – to get in on an once-in-a-lifetime opportunity to profit from today’s currency boom before the masses – you should check out this Special Report we’ve put together for you. Download this FREE Report now.
Source: What to Do With Your Money Now

Turn on the evening news or glance over the headlines of the country’s newspapers and you’ll see the same stories repeated over and over: U.S. home sales down 15% from last year; the DOW and S&P 500 in the bear’s grip; gas prices at record highs.

You can’t get away from the bad news. And chances are, things will only get worse before they get better. In fact, the consumer confidence index recently posted one of its lowest levels in 16 years.

With consumers accounting for 70% of gross domestic product, any pullback in their spending will have an outsized impact on the U.S. economy. In a recent note to clients, Deutsche Bank (NYSE:DB) economists estimated that U.S. annual growth could be cut by a half to a full percentage point if consumers spend less and save more.

But in other countries, like India, it’s a different story altogether.

Unlike what we see here in the U.S., India’s housing market is growing. Just about 10 years ago, India’s working class saved for a lifetime to buy the most prized possession of all: a home. Today it takes less than three years to buy that dream home.

India is entering a new phase where consumer spending is fueling the country’s growth.

This super-safe $15 stock is the “sleeping giant of India”. Most investors think they can’t own it, but they’re wrong!While plenty of Americans know that China is a fast-growing economy, a small group of investors are making seven times more money investing in India.And right now, you have a rare opportunity to slip through a “secret backdoor” and own shares of this $15 Indian company that I guarantee will post a triple-digit gain in the next 12 months… or your money back. Over the next five years, you could see 10 times that amount… maybe more!Keep reading to learn more…

Incomes Are Rising

Why this surge in spending? Well, one of the main reasons is Indian workers are earning more money. Indian salaries have grown by over 25% each year for the past five years. And according to a study in the McKinsey Quarterly, the average Indian household’s annual disposable income will surge by 300% over the next two decades. (That’s more than any of the developed nations.)

There are 350 million people in India who are classified as middle-class. That’s bigger than America. The fact is, India’s middle class is larger than the entire population of the U.S. (a little over 300 million at last count). And the number of Indian consumers will only grow… as will their spending.

Another reason for the surge in consumer spending is that India has been receiving more money from foreign companies. In 2006, foreign companies (also referred to as multinationals) invested $10 billion in India. By 2007, that number increased to $22 billion. The trend looks like it will continue.

The more foreign companies invest in the country, the more money there is for workers. The more money the workers earn, the more they have to spend. Hence the sharp rise in consumer spending.

A recent ad campaign for the State Bank Of India read, “Be a big shopper! Make a big buy! Take home a car, a VCR or a sewing machine today! You can do it now with the big buy scheme…”

In India, Consumers Are Shopping ‘til They Drop

Exactly what kind of items are they buying? Indians are buying the same kind of middle-class status symbols we buy here in the U.S.: televisions, cellphones, leather goods, wristwatches… the list goes on and on.

Over the past seven years, India has seen a 1,700% jump in sales of color televisions. Cellphone purchases soared a whopping 10,400%. That means every hour as many as 10,000 cellphones are sold in India.

The Indian retail market is currently around $312 billion. In fact, retail is India’s largest industry, accounting for 10% of the country’s gross domestic product. Experts suggest that India’s retail market will become the country’s next boom industry.

There are about 3 million mom-and-pop shops spread throughout the country. But don’t be fooled. Just like here in the good ol’ U.S. of A., India has its share of shopping centers and multilevel malls. Mall space in India has doubled each year for the past five years.

But here’s the thing: Unlike Asian countries that depend on exports to the U.S. and Europe, India’s economy is internally driven. That means for the country to maintain its 8% to 9% growth rate a year, it needs consumers to shop until they drop. As all the signs show, India’s fast-growing middle class is happy to comply.

Source: Bigger than America and More Powerful

FIFA and UEFA (that’s Fédération Internationale de Football Association and Union of European Football Associations to non-football folks) are becoming increasingly vocal about South Africa economic woes.

You see, South Africa’s having a bunch of problems this year, and some authorities are saying the problems aren’t going away anytime soon. Here’s what I mean…

– GDP growth came in a 2.1% (compared to expected growth of 4%) in Q1 2008.
– Inflation hit a five-year high of 10.1% year-on-year in April (interest rates were raised to 11.5%).
– Unemployment is incredibly high (at between 20% and 40% – that’s official vs. unofficial numbers).

But for the soccer organizations perhaps the worst drawback is South Africa’s undependable electricity supply.

In January 2008, Eskom Holdings Limited (ESKAY:OTC), South Africa’s state-owned electricity company, began cutting power exports because of shortages at home. Since then, reports have been flooding in that Eskom is “load shedding” in South Africa’s middle-class suburbs. Load shedding is abruptly cutting power when demand exceeds supply.

Those power problems could persist for the next 10 years, and that’s precisely what FIFA and UEFA are concerned about. Of course, this problem is not strictly isolated to soccer.

It could lead to job cuts at South Africa’s massive mines, and companies like Gold Fields, Inc. (GFI: NYSE) and Anglo American (AAUK:NASDAQ) could be cutting jobs and losing production. And that’s been leading to social shake-ups and as many as 68 people have died in socio-economic violence.

South Africa’s stock market has been riding high. In fact, it has more than tripled over the last few years.

But the bad news out of Cape Town is about to bring it all crashing down… However, as with most crisis situations, there are hidden opportunities. (In fact, savvy investors are already positioning themselves for a quick 129% gain.)

South Africa is fighting to dispel rumors that it could actually lose the 2010 World Cup. Unfortunately, Eskom’s load-shedding incidents are occurring at least four times a week and are starting to decimate South Africa’s economy.

Cape Town had been warned that these power shortages were coming. Eskom had informed President Thabo Mbeki that it needed more investment dollars to increase capacity. But the government didn’t listen. Now, South Africa is sinking… and the problem is getting worse.

Anglo American (LON: AAL), the world’s largest producer of platinum, says prices will soar by 50% due in part to power supply problems in South Africa. Platinum production could fall by 200,000 ounces this year, wiping out $397.4 million in revenue.

Gold Fields (NYSE: GFI) says that South African gold production could fall as much as a staggering 25% drop because of these power cuts. The industry would have to cut nearly 7,000 jobs.

To top it all off, Eskom is trying to increase its tariffs by 53% to help fund massive investment projects to increase its generating capacity. But the government is broke, and the South African Reserve Bank was forced to raise interest rate to 11.5%.

This is just the beginning. Eskom has confessed that South Africa will face power shortages for the next five years.

Bottom line: South Africa’s power problems are crushing the South African economy and the entire country is going to feel the pain.

GDP growth came in at half its expected rate in the first quarter of 2008. At the same time, inflation hit a five-year high. And worst of all, unemployment is at a startling 20%!

With no end in sight, foreign investment is bolting from South Africa… and the stock market gains of the last few years are about to implode.

Take a look at the chart below. It’s from Sara Nunnally, editor of Taipan Trader.

According to Sara’s research, the South African market has crossed into dangerous territory. It will not only likely fall… it will tumble hard!

Now if you’ll recall I mentioned that buried in every crisis is a hidden opportunity. Sara has isolated a safe, simple investment that will soar as South Africa’s market tumbles. In fact, Sara expects it will return a 129% gain.

This investment is easy to buy. In fact, you can own it without sending a single dime overseas.

Now here’s the thing: Sara’s research is spot on. Most every time she makes a prediction about an event happening in a foreign country, it comes true. She is the group’s most knowledgeable source on building wealth through foreign markets.

While Sara has already recommended this investment to her Taipan Trader readers, it’s not too late for you to participate in these gains.

For more details, please visit the Taipan Trader web site.

–Sandy Franks

Source: Upcoming World Cup Reveals That South Africa is in Shambles: 129% Profit Strike on the Horizon!

Now things have changed and the country is coming into its own. As the world beats a path to Brazil’s door, for everything from soybeans to sugarcane to base metals — and soon oil and gas — the cash is pouring in.

Better still, a recent event has opened the doors to even more opportunity in Brazil. Taipan’s executive publisher, Sandy Franks, has the details.

Enjoy your weekend,

JL

Brazil Receives S&P Credit Rating, Becomes New Opportunity for Investors

Would you like to grow your “safe money” by 225% over the next three years while collecting 9% annual dividends? Here’s how to do it… by Sandy Franks, Executive Publisher, Taipan

In a shocking move, Standard & Poor’s has upgraded Brazil’s credit rating, lifting the country to “investment grade” for the first time in history.

The upgrade sparked a 6.3% rise in the index of the Sao Paulo stock exchange, or Bovespa, which soared to an all-time high of 67,868 points.

President Luiz Inacio Lula da Silva, basking in the investment upgrade, said it was a “magical moment” for Latin America’s largest country.

While the upgrade is good news for Brazil’s economy, it also presents YOU with a remarkable opportunity.

In fact, if you’d like to grow your “safe money” by 225% over the next three years while collecting 9% annual dividends… then please pay special attention to this “ground floor” investment opportunity.

Let me bring you up to date on the situation. Until Brazil received its recent credit rating, the country was considered a high-risk investment only for the brave and the bold.

The South American nation was strapped with billions in debt, and many investors believed the new leftist president would ramp up already-high government spending.

Consequently, many of the big institutional investors waited on the sidelines. But not anymore…

The ongoing commodity boom has flooded Brazil with cash. The economy is growing leaps and bonds.

An estimated 20 million Brazilians have emerged from poverty on cheap credit, welfare checks and tax breaks, helping to forge a new middle class that in turn is fueling strong consumer demand.

And S&P’s investment upgrade is a signal that Brazil’s stock market is off to the races.

The upgrade will make it possible for a wider universe of international investors, including massive U.S. pension funds, to plunge into the Brazilian stock market.

This means that Brazilian stocks will see an influx of cash. For investors, this is an opportunity to get in on the ground floor of some of the amazing opportunities you’ll see coming from Brazilian companies in the coming months.

It’s really simple: Because of S&P’s upgrade, one of the most lucrative stock markets on the planet is now also one of the safest!

If you’re looking for a safe, simple way to grow your money – and collect great income – Brazil is an essential addition to your investment portfolio.

Not only that, but investing in Brazil is a great way to PROTECT YOUR MONEY against the falling U.S. dollar, the slumping U.S. economy, and the risky U.S. stock markets.

And because Brazil’s economy is growing leaps and bounds, a modest investment today could grow fivefold in the coming years.

Let me put it this way: To ignore investment opportunities in Brazil would be a horrendous mistake that could cost you dearly.

Of course, the best time to invest in Brazil is right now. While the news of Brazil being an attractive investment opportunity is just now making headlines, our team of editors has already alerted readers to the situation.

In fact, Sally Limantour, editor of Taipan, our flagship publication, has isolated the single best stock to own in Brazil. Not only that but it’s just about one of the safest stocks you could own.

The company is Brazil’s largest utility company. It is big, strong, and offers a rock-solid way to grow your money and collect great income.

During the next decade, Brazil will experience massive growth. Its people, businesses and government will need power.

This company is in perfect position to supply most of the country’s power needs. It has returned over 225% over the last three years. Sally expects it to generate similar gains for years to come.

The best part: It pays a whopping 9% annual dividend, and you can buy shares without sending one single dime overseas.

Already, Brazilian stocks have awarded smart American investors.