Leif Peterson

As the Dollar Continues to Collapse, Where Will You Put Your Money?

The inflation-induced oncoming rise in commodities (e.g., BP, XOM, CVX), consumer staples (MO, PM, KO, JNJ, PG) and pharmaceuticals (ABT, PFE) will translate to greater earnings and hence dividend increases. Compound interest earned through dividend reinvestment should be able to fight inflation quite well. If the proposed worst-case scenario ever comes to fruition, then you could still do well owning and reinvesting in PM.

There is also something to be said about equilibrium.