The Future of U.S. Manufacturing; Special Report by Leading Financial e-Letter Investment Contrarians

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In a recent Investment Contrarians article, editor Sasha Cekerevac points out that over the last 30 years, millions of manufacturing jobs have left America, exported to other nations. Based on his economic forecast, Cekerevac believes that there is the strong possibility the U.S. manufacturing market sector may have a rebirth over the next decade.

The Future of U.S. Manufacturing; Special Report by Leading Financial e-Letter Investment Contrarians

The Future of U.S. Manufacturing; Special Report by Leading Financial e-Letter Investment Contrarians

“You have labor costs, energy costs, transportation costs, and the quality of workmanship. These are some of the main ingredients when calculating an economic forecast in the manufacturing market sector,” explains Cekerevac.

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In a recent Investment Contrarians article, editor Sasha Cekerevac points out that over the last 30 years, millions of manufacturing jobs have left America, exported to other nations. Based on his economic forecast, Cekerevac believes that there is the strong possibility the U.S. manufacturing market sector may have a rebirth over the next decade.

“You have labor costs, energy costs, transportation costs, and the quality of workmanship. These are some of the main ingredients when calculating an economic forecast in the manufacturing market sector,” explains Cekerevac.

Recently, the U.S. manufacturing market sector has seen a slight resurgence in new facilities being built and more workers being hired; however, wages are significantly lower than they used to be, notes Cekerevac.

“When you combine higher wages in places like China for the manufacturing market sector, the spread between the Chinese worker and American worker is decreasing at a very fast rate,” says Cekerevac.

He notes that while there remains a lower cost advantage to China, other variable in the economic forecast are in America’s favor.

Energy costs are a huge input in the manufacturing market sector, and in Cekerevac’s opinion, the U.S. is fortunate to have, by far, the lowest cost of natural gas anywhere in the world. While estimates of total supply available vary in the economic forecast, one thing Cekerevac says that investors can be assured of is that over the next several decades, energy costs will be much lower here than anywhere else.

“When you combine the extended time needed to travel across from China to America with the much faster pace of the retail market sector, many companies are now calculating that it’s better to be closer to the customer, especially considering the cost difference is now much smaller,” comments Cekerevac.

“While there is a significant future for the American manufacturing market sector, it is not the industry from decades ago that we think of with fondness; it is a different landscape,” concludes Cekerevac. “However, America does still have the ability to build and sell high quality goods to the world that demands them.”

To see the full article and to get a real contrarian perspective on investing and the economy, visit Investment Contrarians at http://www.investmentcontrarians.com.

Investment Contrarians is a daily financial e-letter dedicated to helping investors make money by going against the “herd mentality.”

The editors of Investment Contrarians believe the stock market and the economy have been propped up since 2009 by artificially low interest rates, never-ending government borrowing and an unprecedented expansion of our money supply. The “official” unemployment numbers do not reflect people who have given up looking for work and are thus skewed. They believe the “official” inflation numbers are also not reflective of today’s reality of rising prices.

After a 25- to 30-year down cycle in interest rates, the Investment Contrarians editors expect rapid inflation caused by huge government debt and money printing will eventually start us on a new cycle of rising interest rates.

Investment Contrarians provides unbiased research. They are independent analysts who love to research and comment on the economy and investing. The e-newsletter’s parent company, Lombardi Publishing Corporation, has been in business since 1986. Combined, their economists and analysts have over 100 years of investment experience.

Find out where Investment Contrarians editors see the risks and opportunities for investors in 2012 at http://www.investmentcontrarians.com.

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