Rational Advisor

Since George Bush has had such an impact on Energy stocks, I though it would be interesting to see what the current Presidential candidates had to offer

All candidates have an alternative-energy plan, and the alternative-energy and farming sector (except under McCain) stand to win big no matter who wins the election. This means bye-bue to the Energy sector – the biggest proponent Bush is getting out! This also makes it tougher fro Canada

In case of a Democratic victory, the health-care and defense sectors will be the major losers as well as companies employing low-wage workers. Home builders and heavy polluters like utilities and cement companies may actually benefit.

Hillary Clinton’s environmental plans will benefit alternative-energy companies and mostly Japanese car makers. (note: Toyota is at a low) It would benefit heavy polluters such as utilities and cement companies, as they would receive a large number of carbon credits (based on their current carbon-dioxide output). After receipt of these CO2 credits, these industries can cut emissions and sell their credits for a profit. Clinton plans to cut 500,000 government contractors (mostly defense guys in Iraq/Afghanistan) and seeks to reduce U.S. presence in Iraq, which would hurt defense companies.

Barack Hussein Obama plans to fight for fair trade, abolish tax breaks for the rich and end tax-haven abuse. This would hurt Hedge Funds, and Private-equity groups. Hussein Obama also wants to promote Net neutrality and diversity in media ownership as well as expand next-generation broadband, which would benefit technology companies. To promote the environment, he wants to develop clean-coal technology and a grid infrastructure that can accommodate renewable-energy generation and smart metering and distributed storage. This benefits utilities.

In case a Republican wins the White House (unlikely), the pharmaceutical and defense sectors are safe while construction and oil-and-gas exploration companies may benefit. Life insurers and tax-service companies may suffer.

John McCain wants to promote clean coal and a market-based system that caps emissions. McCain wants a greater military commitment in Iraq and eliminate wasteful spending (This is where I think he will lose – doesn’t he realize that the current prez is in trouble for this). The latter would hurt government and defense contractors. The only scare that I have is that Iran has been popping up in the news a bit too much recently (the “we will get you” Navy scare – that turned out to be a prank, and then Bush’s “visit” to the Middle East – I wouldn’t be surprised to see the Republicans push forward with some Iran stuff before the elctions to get McCain and Bushites in)

Rudy Giuliani wants to expand the use of clean coal, natural gas and nuclear power. H wants to streamline the Food and Drug Administration-approval process, which helps the pharma industry. He wants to build a high-tech fence to protect the U.S.-Mexico border, as well as introduce a tamper-free biometric ID card. Does he not realize that the national language of the US is now Spanish!!

Mitt Romney wants to expand the use of nuclear power but also increase domestic crude production. The latter would benefit domestic drilling companies. Romney also wants to build and repair America’s transportation infrastructure, which benefits infrastructure builders and, like Giuliani he wants to reform Sarbanes-Oxley, which benefits investment banks.

Mike Huckabee - (furghedaboutem)

Rational

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