Do This As US GDP Grows At The Fastest Rate In 40 Years
What happens when you spend trillions of dollars? Apparently, you see the fastest economic growth in 40 years.
Last March when the initial Covid panic hit, the entire world’s economy came to a screeching halt.
Air traffic fell by as much as 99% worldwide.
Driving rates fell.
Businesses closed. And so did schools.
50 million people in the United States and hundreds of millions worldwide were fired.
The economic predictions because of all this were dire… And some in the media even asked if we were headed toward the Next Great Depression.
In modern world history we’ve never seen anything like the complete economic stoppage that happened in March and April 2020.
Not even during the Spanish Flu pandemic in 1918… Things stopped… But not to the degree that they did worldwide in 2020.
Things came to such a complete stop that pollution rates fell in major cities worldwide. Again, this was another first in modern world history.
This complete economic stoppage caused the stock market to fall by 35% in weeks in what became the fastest and largest losses in market history.
We were all terrified of what was to come next…
But it wasn’t a depression.
Due to the trillions of dollars in stimulus the United States government and Federal Reserve pumped into the system, the market shot back and turned the fastest 35% loss in history into the shortest bear market in history.
And now the market is hitting all time highs again on an almost daily basis due to the enormous stimulus enacted by federal officials.
The trillions of dollars of stimulus in the US – and worldwide – brought the economic machine back to life.
This proved out again earlier today when the US government announced that GDP grew at an annualized rate of 6.4% in the first quarter of 2021. If held throughout the entirety of 2021 this will be the fastest the US economy has grown in four decades.
Of course, this is amazing after the last year plus we’ve dealt with… Almost miraculous even. And its definingly something to be celebrated.
People are getting back to work, getting paid, and doing the things they love with people they love.
This is all fantastic.
But you still shouldn’t take your guard down when it comes to your retirement portfolio.
I’ve talked about the many enormous risks out there in recent weeks…
- Record debt levels worldwide
- All time high market valuations
- Covid cases increasing again
These are all still out there as enormous risks… And you still need to be careful with your investments because of them.
While all the news today – rightly – is about the economy roaring back. You still need to focus on the longer term. And over the longer term – things are still not great due to the risks above.
Yes, they are improving – in some cases rapidly. But what you’re not hearing about in the mainstream media are all the risks that are out there right now.
That’s why I keep writing to you about this.
Not to rain on your or anyone’s parade… I’m an eternal optimist myself so I love the progress we’ve made since last year on all fronts.
But when it comes to investing – I’m also a realist. And the reality is I see enormous risks out there still that I see no one else telling you about.
Like I’ve said in the last few weeks… Be grateful and happy things are improving… But remain cautious with your retirement portfolio. And generate as much income as you can.
Yesterday, I showed you two unconventional ways to generate more income for your retirement. You can read that in the article below.
With any extra money you can generate, make sure you’re invested in great stocks that have the following traits…
- They’re cheap.
- They have little to no debt compared to a lot of cash.
- They produce large profits and cash flows.
- And make sure they aren’t in industries that could be hammered by Covid.
These kinds of stocks – the ones I try to find for you every day – are things you should continue investing in because they will provide you good to great returns no matter what the market is doing.
All while protecting you from the major risks like valuation, unemployment, debt, and inflation.
These are the kinds of stocks I show you every day – either ones to buy or ones to avoid.
Here are some of those stocks I’ve already found for you to consider investing in to protect your portfolio…
Your guide to financial freedom and achieving your retirement goals.
Always in your service,
Publisher Stock Market Daily
P.S. Breaking Poll – Do You Plan To Invest More As The Economy Roars Back? Vote Here