His advice? Todd suggests continued focus on the energy and metals sectors, noting growth in China and other emerging markets around the world. "I think in a globalized economy, you want to stay geared toward things needed to feed, educate and power the world."
Echoing other StockWatch contributors, Todd warns it's too early to return to the financial stocks, which have lost 14% this year amid the ongoing subprime mortgage crisis. While the discounted shares might see a near-term bounce, "if you see any gains in these names, as a long-term investor, you might want to move to the sidelines."
So is technology an option? While tech shares have performed strong this year, "it's important to note that three stocks -- Google (NASDAQ: GOOG), Apple (NASDAQ: AAPL), and RIM (NASDAQ: RIMM) -- represent over 50% of the gains to date in the Nasdaq." Todd cautions that this narrowing leadership is often a bearish tell.
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