Every so often, I like to look at the market pulse and try to determine where I would invest new money. I do this even when I don’t have money to invest. I find that it’s not only a fun game to play, but I learn a lot in the process. In the past, I’ve found that I’m better off buying securities at a bargain than going for the current hot sector. I look at the market now and this is what I’m seeing:
- The price for a barrel of oil is at or close to an all-time high.
- The Dow Jones index is very close to being at an all-time high.
- Gold is the highest it’s been in 20+ years.
- The hot sector play seems to be emerging markets which is also extremely high.
- China indexes are extremely high relative to where they were 6 months ago.
There are a lot of good reasons why the above is true. I can’t see a reason why all the above can’t go even higher than they already are. However, I’m not sure I can make a case that they are bargains. In looking for bargains, I find myself liking regional banks. Specifically if I had a little play money in a Zecco account, I might buy this regional bank ETF. Would you buy the bargains or ride the some of the highs higher? What specifics investments would you buy?