Which Sector Could Shield Investors From The Earnings Storm?

Warren Stanley Investors Observer.com

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Another earnings season is upon us, and investors have so far revealed a bit of concern that corporate profits have not matched the momentum over the market over the past few months. Bank stocks like Goldman Sachs (GS) and Citigroup (C) have seen rising loan losses, while other market leaders like Coca-Cola (KO) and Research in Motion (RIMM) disappointed investors by missing analysts' sales targets. Both of these phenomena suggest that the American consumer is still hurting, which could be a bad sign for an economy of which consumer spending comprises two-thirds of GDP.

But there is one sector of the economy that can give investors a sense of stability no matter how bad the market.

Warren has been around Investors Observer since the early days.  His fingerprints can be found on most services offered here and many started out as one of his special projects. Mr. Stanley looks for below-the-radar news tidbits, company happenings, Wall Street whispers, economic trends and essential strategies others might miss. Then he digs in to find the whole story.  And… When he’s done he will share his findings here. One of Warren’s current interests involves strategies, tactics, and tricks of the trade for investors who don’t have a lot of cash to commit to the market. So expect these articles to especially help investors with $5,000 to $10,000 to invest. Many articles here will probably use ETFs and HOLDRs since these are a great low-cost way to play the market.