` S&P Downgrades US Debt Outlook To Negative

S&P Downgrades US Debt Outlook To Negative

on Apr 18, 2011 in Fox Business, Media Center by Ed Butowsky | No Comments »

Ed Butowsky, Managing Partner of Chapwood Capital Investment Management, joins Varney & Co. on Fox Business to discuss the latest downgrade by Standard and Poor’s (S&P) of the US debt outlook to negative.

The S&P is questioning America’s future credit rating, could this signal the end of the long running stock market rally?

Ed Butowsky has been in the financial industry for 25 years and believes this by itself may not be a clear indicator; however, these comments make many people in the financial industry uncomfortable.

Stagflation appears to be the top issue in the economy today, and as such if investors were to pull out their money from the stock market and convert to cash or cash equivalents while its trending upwards will impact investors purchasing power. Stagflation is a function of high inflation, low economic movement, and high unemployment. This spells trouble for people holding cash or cash equivalents.

What should investors do in light of these tough economic conditions?

  • Evaluate your portfolio for discretionary industries, this area is very volatile.
  • Re-evaluate any decisions to convert market positions into cash or cash equivalents.
  • Take a look at stocks representing producers like those of food or metals – commodity related stocks.
  • Investigate the possibility of investing in opportunities that cover the long and short of the markets – Hedge Funds.

Disclaimer: This information is provided as general information only. It is not intended as professional and/or financial advice nor does any information on this webpage constitute any kind offering of securities. Consult your financial advisor.

A word about Ed Butowsky:

Ed Butowsky is the managing partner of Chapwood Investment Management and is an internationally recognized expert in the investment wealth management industry. Ed is also a frequent guest on other networks such as CNN, NBC, ABC, Fox News, Fox Business, and Bloomberg to name a few.

Check out some of our other articles:

 

 


Tags: , , , , , , , , , , , , , , , , , , , , ,

Trackbacks/Pingbacks

  1. Stagflation Is The Worst Economic Situation To Be In | Ed Butowsky
  2. Could High Food & Fuel Prices Trigger Another Recession? | Ed Butowsky
  3. Take Charge: What Is The Best Way To Invest Your Money? | Ed Butowsky
  4. Oil Companies Increase Dividends As Profits Rise | Ed Butowsky
  5. Key Figures Expected To Show Home Prices Are Still Falling | Ed Butowsky
  6. What's The Better Investment: Stocks Or Bonds? | Ed Butowsky
  7. US Stocks Drop For Sixth Straight Week | Ed Butowsky
  8. Mixed Economic Data Pointing To A Wobbly Recovery | Ed Butowsky
  9. Price At The Pump Draining Family Summer Budgets | Ed Butowsky

Leave a Reply

About Ed

Ed Butowsky is a nationally-recognized expert in investment management. Butowsky has been in the financial services industry for over 25 years. He was previously a Senior Vice President at Morgan Stanley and a Managing Director ... More »

Contact

Ed Butowsky, Managing Partner
Chapwood Capital Investment Management, LLC
Website: www.chapwoodinvestments.com
Email: ed@chapwoodinvestments.com
Phone: (972) 865-2225