we ve seen that with yesterday s trade. what s a stock that trades better on one hand? reporter: this time around stocks like the bank stocks, they were under pressure yesterday because there is this expectation that if president obama is re-elected you will see some trouble when it comes to some of the regulatory things, some of the things that are in dodd frank that would go ahead and get pursued, maybe some tougher readings of some of those regulations if it goes through so yesterday bank stocks were trading lower. you had things like utility stocks which pay a high dividend. they were trading well, too, because the expectation is if president obama is re-elected you will see dividend tax rates increase. so a lot of those stocks have been positioning, we talked to some who said if romney wins, you could see some surprises in terms of where the bonds are moving. that s the first time it s happened. you could see movement in one direction. a little higher, maybe by 25
three years are going to go higher a lot to do with interest rates being relatively low compared to stock prices. stay fully invested in your 401(k). clayton: we hear about blue chip stocks, the big companies, the general electric, those big companies that are always, they re always going to be strong no matter what, weather any sort of thing. you say buy utility stocks and big company stocks that pay dividends. first of all if interest rates rise, that hurts smaller stocks than bigger companies. stay to bigger companies, utility stocks are the most undervalued sector in the market. in any 401(k). if you have a utility stock or a fund to buy. i warn you get out of your small growth funds. those are going to get small growth funds get out of. when you say utility stocks it that s over somebody s head, give us an example. typical utility stock might be, you know, edison, you might have a dominion resources, those categories,
don t get out. never get out. people never know when to get back in. stock prices next two and three years are going to go higher a lot to do with interest rates being relatively low compared to stock prices. stay fully invested in your 401(k). clayton: we hear about blue chip stocks, the big companies, the general electric, those big companies that are always, they re always going to be strong no matter what, weather any sort of thing. you say buy utility stocks and big company stocks that pay dividends. first of all if interest rates rise, that hurts smaller stocks than bigger companies. stay to bigger companies, utility stocks are the most undervalued sector in the market. in any 401(k). if you have a utility stock or a fund to buy. i warn you get out of your small growth funds. those are going to get small growth funds get out of. when you say utility stocks it that s over somebody s head,
unfortunately, a great opportunity for people in this country to buy utilities stocks, the utility stocks in this country went down, based on a lot of what took place over there and i think is a great buying opportunity and i think people, monday morning, should go out and buy utility stocks, they can get 4.5, 5% income off the dividends and plus a potential for growth and i think is a great opportunity, along with buying oil etfs, i would buy utility stocks here in this country. rick: there are opportunities when there ais crisis, ed, alwas good to talk to you, thanks so much. jamie: u.s. missiles as we showed you, hitting targets inside libya. but, president obama saying today, america s role is limited. there will be, he says, no ground troops. coming up, we ll take a look at the role our allies are playing, what will we do, next.
homebuilders definitely is one of them, and their stock has been pummeled, since the market collapsed and, yet it is still falling, since may homebuilder stocks are down another 25%. julie: now, you mentioned something i actually never heard of, number 3, third avenue real estate value funds, what is that. this is a real estate fund where an individual can make a play on a commercial sector, because, prices for commercial buildings are down 40% as well, but, an individual can t just run out and buy a strip mall or an office building and this is a fund that will do the work for you, and they look for undervalued developers, real estate companies all over the globe, in the u.s. and abroad and the manager of the fund specializes in bankruptcy, and so plenty of analysts said if there is anyone who is going to find where the deals are, in the commercial sector, it will be this manager. gregg: the other three things you mentioned, don t have time for all of them, utility stocks, health