Page 460 - How to Make Money in Stocks Trilogy

330 INVESTING LIKE A PROFESSIONAL

1984–1987 Generic drugs, foods, confectionery and bakery, supermarkets,
cable TV, computer software
1988–1990 Shoes, sugar, cable TV, computer software, jewelry stores,
telecommunications, outpatient health care
1990–1994 Medical products, biotech, HMOs, computer peripheral/LAN,
restaurants, gaming, banks, oil and gas exploration, semicon-
ductors, telecommunications, generic drugs, cable TV
1995–1998 Computer peripheral/LAN, computer software, Internet,
banks/finance, computer—PC/workstation, oil/gas drilling,
retail—discount/variety
1999–2000 Internet, medical—biomed/genetics, computer—memory
devices, telecommunications equipment, semiconductor
manufacturing, computer—networking, fiber optic com-
ponents, computer software—enterprise
2003–2007 Fertilizer, oil and gas, apparel, steel, medical, solar, Internet,
home builders

As you might imagine, industries of the future create gigantic opportuni-
ties for everyone. While they occasionally come into favor, industries of the
past offer less dazzling possibilities.
There were a number of major industries, mainly cyclical ones, that were
well past their peaks as of 2000. Many of them, however, came back from a
poor past to stronger demand from 2003 to 2007 as a result of the enormous
demand from China as it copied what the United States did in the early
1900s, when we created and built an industrial world leader.
China, with its long border with Russia, witnessed firsthand the 70-year-
old communist Soviet Union implode and disappear into the ash heap of
history. The Chinese learned from the enormous growth and higher stan-
dard of living created in America that its model had far more potential for
the Chinese people and their country. Most Chinese families want their one
child to get a college education and learn to speak English. Families in India
have many of the same aspirations.
Here is a list of these old-line industries:

1. Steel
2. Copper
3. Aluminum
4. Gold
5. Silver
6. Building materials