There’s a lot more than just $1,400 checks in the latest stimulus package. Here’s what it could mean for the market.
The big news coming out of the weekend revolves around the House of Representatives passing the latest $1.9 trillion stimulus package.
Assuming the bill makes it through the Senate and is signed into law without any major changes, it would mean another round of relief checks – this time to the tune of $1,400 – for millions of Americans.
That sort of gargantuan infusion of cash into the economy could spell another big move up for the market as many people would likely invest at least some of their stimulus money.
Naturally, retail stocks would benefit from millions of Americans having that money in their pockets. But there’s much more to this latest stimulus package than just $1,400 relief checks.
And the implications for certain sectors could be huge.
Let’s take a look…
Where’s the money?
Among the largest provisions in the bill are the earmarks for infrastructure spending.
More than $40 billion has been allotted for infrastructure projects in public transportation, airports, bridges, and more.
That, combined with the expectation that Congress will pass even more infrastructure funding in the future – after a series of severe winter storms exposed a number of shortfalls – could mean big things are coming for certain stocks.
Among the biggest winners would be equipment manufacturers and suppliers, construction management companies, and materials manufacturers.
So how should you be trading this opportunity?
Here’s my two cents…
How do I get some?
Even before the stimulus bill passed the House, investors were already looking forward to a bull rally from the economic recovery that will come from COVID-19 vaccinations.
I think the round of stimulus is yet another reason to make the stock market go higher.
And the top retail and infrastructure stocks will be the biggest beneficiaries. Every pullback will be bought, and not even concerns over rising inflation will be enough to stop the buying frenzy.
As always, I’ll be monitoring S.C.A.N. for investments with the largest institutional interest. When an opportunity is ripe for the picking, I’ll be back to let you know exactly what to do.
In the Meantime…
My friend and colleague Shah Gilani keeps a complete list of the best and worst stocks in America. And you better believe he’s got his finger on the pulse of this latest opportunity.
Shah says 2021 could be a gold mine for Americans, and he wants to show you how. He’s breaking down his entire 2021 investing strategy, including which obscure stocks are at the top of his “must-buy” list. Plus, he’s detailing the big stocks you need to sell ASAP.
All you need to do is click here to view them now.
In the Spotlight: Another State Joins the Legalization Movement
The cannabis industry in the U.S. notched another win late last week, as Virginia became the 16th state to fully legalize recreational marijuana use.
With more and more states voting to allow either recreational or medicinal cannabis use, pressure is growing on Congress to at very least decriminalize cannabis on a federal level, allowing states to determine their own laws.
New legislation is expected to be introduced in the House later this year, and it’s passing would be a huge boon to countless cannabis stocks.
I’ll be doing a deep dive on the best companies to take advantage of this once-in-a-lifetime opportunity, so keep an eye out for future Profit Pregame alerts.