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http://www.profitableinvestingtips.com/stock-investing/beware-of-energy-stocks Beware of Energy Stocks As the price of oil falls below $80 a barrel beware of energy stocks. The US oil boom has been a big plus for the American economy. Money spent for oil and natural gas stays at home. The lower price of oil is a plus for consumers and businesses. But, the world economy is not yet fully recovered. There is the risk of a dip back into recession in Europe and the Chinese are facing up to the fact that they simply cannot maintain a 7.5% economic growth rate. Thus, a headline in Bloomberg states, U.S. Stocks Retreat as Energy Shares Decline with Oil. U.S. stocks retreated, following the biggest weekly rally since January 2013, as energy producers led losses after oil dipped below $80 a barrel. Halliburton Co., Newfield Exploration (NFX) Co. and Nabors Industries Ltd. fell more than 5.5 percent to lead losses in energy companies. The stock market rally this year has been partly because the economy is better, especially in the USA. And it has been partly because people need somewhere to invest their money at a time when interest rates are very low. The boom in US oil and natural gas could turn into a glut when China sees lower manufacturing and Europe slides back into recession. Business confidence is falling in Germany which is one measure of where things might be headed. How Goes Germany Goes Europe? Businesses in Germany are not optimistic. As reported in The Wall Street Journal, a survey of businesses notes that German business confidence is weakening. German business confidence slumped in October, a key indicator showed Monday, suggesting that significant growth risks remain in Europe’s largest economy. However other data released Monday points to a bottoming out of the eurozone’s weak bank lending trend, although experts doubt that this will rebound soon. Taken together, the reports signal that the eurozone will have a tough time emerging from close to stagnant growth levels in the near term, even if the risks of a credit crunch have subsided. The closely watched Ifo Institute’s survey’s lead indicator for Germany fell to 103.2 in October from 104.7 in the previous month. The drop was below analysts’ expectations of a fall to 104.5 and comes on the heels of recent data showing sharp declines in Germany’s key industrial sector in August. It was the Ifo indicator’s sixth straight fall, reaching its lowest level in almost two years. Germany is the third leading exporter in the world behind China and the USA. It is currency the engine that drives the European economy and finances much of it as well with a roughly quarter of a trillion dollar yearly trade surplus. So, if the Germans are worried about business prospects, beware of the world economy and especially beware of energy stocks. Slower Chinese Growth Rate The engine that has driven many third world economies in the last few decades has been the gro

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  • 1. Beware of Energy StocksBy www.Pro f i t abl e Inv e s t ingTips . c om

2. As the price of oil falls below $80 abarrel beware of energy stocks.http://www.profitableinvestingtips.com/stock-investing/beware-of-energy-stocks 3. The US oil boom has been a big plusfor the American economy.http://www.profitableinvestingtips.com/stock-investing/beware-of-energy-stocks 4. Before We ContinueClick the links below to get yourFREE training materials.Free Weekly Investing WebinarsDont miss these free training events!http://www.profitableinvestingtips.com/free-webinarForex Conspiracy ReportRead every word of this report!http://www.forexconspiracyreport.comGet 12 Free Japanese Candlestick VideosIncludes training for all 12 major candlestick signals.http://www.candlestickforums.comhttp://www.profitableinvestingtips.com/stock-investing/beware-of-energy-stocks 5. Money spent for oil and natural gasstays at home.http://www.profitableinvestingtips.com/stock-investing/beware-of-energy-stocks 6. The lower price of oil is a plus forconsumers and businesses.http://www.profitableinvestingtips.com/stock-investing/beware-of-energy-stocks 7. But, the world economy is not yetfully recovered.http://www.profitableinvestingtips.com/stock-investing/beware-of-energy-stocks 8. There is the risk of a dip back intorecession in Europe and the Chineseare facing up to the fact that theysimply cannot maintain a 7.5%economic growth rate.http://www.profitableinvestingtips.com/stock-investing/beware-of-energy-stocks 9. Thus, a headlinein Bloomberg states, U.S. StocksRetreat as Energy SharesDecline with Oil.http://www.profitableinvestingtips.com/stock-investing/beware-of-energy-stocks 10. U.S. stocks retreated, following thebiggest weekly rally since January2013, as energy producers led lossesafter oil dipped below $80 a barrel.http://www.profitableinvestingtips.com/stock-investing/beware-of-energy-stocks 11. Halliburton Co., NewfieldExploration (NFX) Co. and NaborsIndustries Ltd. fell more than 5.5percent to lead losses in energycompanies.http://www.profitableinvestingtips.com/stock-investing/beware-of-energy-stocks 12. The stock market rally this year hasbeen partly because the economy isbetter, especially in the USA.http://www.profitableinvestingtips.com/stock-investing/beware-of-energy-stocks 13. And it has been partly becausepeople need somewhere to investtheir money at a time when interestrates are very low.http://www.profitableinvestingtips.com/stock-investing/beware-of-energy-stocks 14. The boom in US oil and natural gascould turn into a glut when Chinasees lower manufacturing andEurope slides back into recession.http://www.profitableinvestingtips.com/stock-investing/beware-of-energy-stocks 15. Business confidence is falling inGermany which is one measure ofwhere things might be headed.http://www.profitableinvestingtips.com/stock-investing/beware-of-energy-stocks 16. How Goes Germany GoesEurope?http://www.profitableinvestingtips.com/stock-investing/beware-of-energy-stocks 17. Businesses in Germany are notoptimistic.http://www.profitableinvestingtips.com/stock-investing/beware-of-energy-stocks 18. As reported in The Wall StreetJournal, a survey of businesses notesthat German businessconfidence is weakening.http://www.profitableinvestingtips.com/stock-investing/beware-of-energy-stocks 19. German business confidenceslumped in October, a key indicatorshowed Monday, suggesting thatsignificant growth risks remain inEuropes largest economy.http://www.profitableinvestingtips.com/stock-investing/beware-of-energy-stocks 20. However other data releasedMonday points to a bottoming outof the eurozones weak bank lendingtrend, although experts doubt thatthis will rebound soon.http://www.profitableinvestingtips.com/stock-investing/beware-of-energy-stocks 21. Taken together, the reports signalthat the eurozone will have a toughtime emerging from close tostagnant growth levels in the nearterm, even if the risks of a creditcrunch have subsided.http://www.profitableinvestingtips.com/stock-investing/beware-of-energy-stocks 22. The closely watched Ifo Institutessurveys lead indicator for Germanyfell to 103.2 in October from 104.7 inthe previous month.http://www.profitableinvestingtips.com/stock-investing/beware-of-energy-stocks 23. The drop was below analystsexpectations of a fall to 104.5 andcomes on the heels of recent datashowing sharp declines inGermanys key industrial sector inAugust.http://www.profitableinvestingtips.com/stock-investing/beware-of-energy-stocks 24. It was the Ifo indicators sixthstraight fall, reaching its lowestlevel in almost two years.http://www.profitableinvestingtips.com/stock-investing/beware-of-energy-stocks 25. Germany is the third leadingexporter in the world behind Chinaand the USA.http://www.profitableinvestingtips.com/stock-investing/beware-of-energy-stocks 26. It is currency the engine that drivesthe European economy and financesmuch of it as well with a roughlyquarter of a trillion dollar yearlytrade surplus.http://www.profitableinvestingtips.com/stock-investing/beware-of-energy-stocks 27. So, if the Germans are worried aboutbusiness prospects, beware of theworld economy and especiallybeware of energy stocks.http://www.profitableinvestingtips.com/stock-investing/beware-of-energy-stocks 28. Slower Chinese Growth Ratehttp://www.profitableinvestingtips.com/stock-investing/beware-of-energy-stocks 29. The engine that has driven manythird world economies in the last fewdecades has been the growth ofChinese manufacturing.http://www.profitableinvestingtips.com/stock-investing/beware-of-energy-stocks 30. This year economic growth targetshave been set at 7 percent, the lowestin years.http://www.profitableinvestingtips.com/stock-investing/beware-of-energy-stocks 31. But, there is worse to come. It maywell be that a four percent growthrate will eventually be more realistic.http://www.profitableinvestingtips.com/stock-investing/beware-of-energy-stocks 32. Experts believe that China growthmay slow significantly from 2020and onward. Bloomberg notes:http://www.profitableinvestingtips.com/stock-investing/beware-of-energy-stocks 33. Chinas economic growth will slowto about 4 percent annually after2020 following decades of rapidexpansion, according to theConference Board.http://www.profitableinvestingtips.com/stock-investing/beware-of-energy-stocks 34. China faces a deep structuralslowdown and broad uncertaintyin the decade ahead, the New York-basedresearch group said in thereport yesterday.http://www.profitableinvestingtips.com/stock-investing/beware-of-energy-stocks 35. Chinas development model, basedon state direction of capital andgrowth-fixated monetary policy,generated deep seated risks andimbalances, it said.http://www.profitableinvestingtips.com/stock-investing/beware-of-energy-stocks 36. The future is a mixed picture. HigherUS energy production will directlyhelp the US economy and the USbalance of payments.http://www.profitableinvestingtips.com/stock-investing/beware-of-energy-stocks 37. But, beware or energy stocks alongthe way. The US will be producingmore of it is oil and natural gas.China will need less and so willGermany.http://www.profitableinvestingtips.com/stock-investing/beware-of-energy-stocks