PPI Report Says Get Back To Basics

My latest column is up at RealMoney.

For a stock picker like me, government economic reports are for more than just indicating the state of the economy. I like to examine the industry-level data to see if there are specific industries to consider more closely as investment opportunities. This month’s PPI report practically shouted out that investors should get back to basics. Basic materials, that is.

Oil refineries, chemicals and iron and steel mills were among the industries showing the strongest pricing power or significant gains in pricing.

Disclosure: At time of publication, William Trent has no financial position in the companies mentioned in this article.

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