Jaime Carrasco is director and investment adviser at ScotiaMcleod. His focus is on resource and utilities stocks and REITs.
- Silver Standard
- Ceres Global Ag Corp.
Past Picks: April 26, 2013
Then: $29.29; Now: $27.14 -7.34%; Total return: -5.34%
Pembina Pipeline Corp.
Then: $32.24; Now: $41.75 +29.50%; Total return: +35.25%
Then: $18.91; Now: $17.20 -9.04%; Total return: +3.35%
Total return average: +11.09%
"Now" figures are intraday from the date of the analyst’s appearance on BNN Market Call.
While it’s possible that consensus proves correct and the U.S. economy is on the mend, I find it hard to believe that the world’s most indebted economy will be able to withstand higher interest rates. Furthermore, global geopolitics are starting to have a greater impact on the global economy as tensions are starting to influence bigger economic players. I continue to position my clients to benefit from a stagflationary environment in which we have rising interest rates, anemic economic growth, rising inflation in specific areas such as food energy and medical care, and continued economic manipulation by central banks. In essence, invest in the economic areas that are basic to the global economy like agriculture, energy, pipelines and utilities, reduce exposure to fixed income investments, and have continued exposure to precious metals as they are the one insurance against central bank economic manipulation.