Many investments depended on cheap fossil fuels for energy. When President Biden declared war on fossil fuels on day one of his term in office in 2021 stock portfolios went down dramatically.The market has recovered over time but many stocks that depended on cheap fossil fuels have lagged the market and many investments are under water.
Now that the man half of America hates President elect Donald J Trump is back in town, the stocks that Biden destroyed with his anti fossil fuel policies have now projected higher earnings. For example: one (ZIM) had earnings going from a loss of -($18.90) a share to a gain of $9.34 a share thanks to Trump’s pro fossil fuel policies.{stocks tend to look ahead 6 months or longer} ZIM has reinstated their dividend although much less than before.The stock went from $44 a share to $6 a share under President Biden and now that Trump is back, ZIM has recovered to $25 then backed off to below $20.
President Biden is anti fossil fuel (oil, gas, coal). He likes windmills and solar. Theoretically a great idea but our infrastructures for these resources of energy are not in place to replace fossil fuel and clean energy has many negative issues that the fake news won’t talk about. And they are not cheap because they are government subsidized by you the tax payer.
Now that fossil fuel will be coming back in a big way there will be a dramatic turnaround in financial situation for most Americans.Cheap energy means cheaper goods and services and makes us more competitive in the world economy especially against China.
The stock market always looks 6 months or more ahead. All goods and services run on cheap fossil fuel. 6,000 plus products are made from fossil fuels. And services are dramatically priced higher as the cost of energy climbs.
“Happy days are here again, the skies above are clear again, let us sing a song of cheer again, happy days are here again”.Now familes can go to McDonald’s once again.