« Lock in those long-term CD Rates now | Main | Financial Markets Weekly Preview- August 20th to August 24th »

Aug18
Hurricane Dean is gaining steam- Will it move stocks?

As we spoke about earlier in the week then tropical storm Dean was likely to become the first major Atlantic hurricane of the season, and it has done just that. The latest report from the national hurricane center puts Dean at a very strong category 4 storm, with winds of 150 mph. The storm is expected to gain a little more strength and probably reach category 5 status before slamming into the Cancun Mexico area. Where the storm goes after that is still a mystery, though most models have it going toward northern Mexico, or possibly the southern tip of Texas. Here is one forecast eye path from Accuweather.                 dean.jpg

Why does all of this matter to you the investor? Because this storm is likely to move a large amount of stocks in one way or another. My earlier article spoke of several stocks who would likely benefit from a strong hurricane such as Dean. There are also stocks who could be hurt by such a hurricane, especially if it makes landfall in the United States and produces widespread damage. American International Group Inc (NYSE: AIG) and The Allstate Corporation (NYSE: ALL) are two insurers who are hurt quite extensively by hurricane damages.

If Dean decides to take a path toward the middle of the Gulf, where many oil rigs are, the price of oil could skyrocket. If Dean goes on a westward path and simply crashes into the Mexican coast without giving much impact to the Texas coast at all, it is possible oil stocks will fall. One way or another, Hurricane Dean is very likely to be a big story on the street in the coming few days. Stay tuned!


2 Comments/Trackbacks




Aaron,

Thank you for the hard work you do over here so that others, such as myself, can learn and become more profitable in the stock market. It is very much appreciated!

Keep up the good work!

:)

» Hurricane Dean hits Mexico, Little effect on the United States from GrowYourFunds
Hurricane Dean made landfall twice in Mexico this week. What effects did the hurricane have on the United States? [Read More]

submit a trackback

TrackBack URL for this entry:

post a comment

Name, Email Address, and URL are not required fields.





Comment Preview

« Lock in those long-term CD Rates now | Main | Financial Markets Weekly Preview- August 20th to August 24th »

Advertise

Related Resources

recent comments

    sponsored ads



    subscribe


    Prefer Email?
    Subscribe below-

    Enter your Email:


    Powered by FeedBlitz What's this?

    Current News

    Support This Blog

    blogroll


    business social media

    Use these fast growing business social media sites to promote your business, feature your products, spotlight your business leaders, create links, and drive traffic back to your company site, all for free!

    BIZZlogos - Add your logo - free link to your site
    BIZZphotos - Add photos of your products and people
    BIZZprofiles - Submit your profile and build your online visibility
    BIZZspotlight - Spotlight your business with free links
    BIZZvideos - Videos about businesses, products and business people.
    BIZZbites - "Digg" for Business - Submit your articles and posts

    Know More Media - Finance / Banking / Insurance

    know more media network

    View Network Map

    Network Feed List (OPML)

    Know More Media Network
    Feed


    we support unitus

    PRWeb

    Influencer



    GrowYourFunds is a member of the Know More Media network of business related blogs.

    Here are some current headlines from some of our business publications:

    ProductivityGoal

    CallCenterScript

    AdHurl

    TheBizofKnowledge

    LandingTheDeal

    CustomersAreAlways

    HealthCareVox

    BrainBasedBusiness

    TheInsurancePolicy

    MarketingBlurb