Word is that retailers will be having a very cold holiday season this year. In fact, MasterCard has noted that sales of apparel, shoes, and appliances dropped considerably in the first two weeks of November. Consumers are being a little thriftier when it comes to extras as they're worried about unemployment and the recent news of a financial crisis. But no matter what's going on in the economy, there are just things that people need, staple items.

An investment in staples means you're banking on something that people are always going to need and will always purchase, no matter what the economy forecast is. Consumer Staples Select Sector SPDR (NYSE: XLP) is an excellent way to invest in a variety of staples in one single investment purchase. This exchange traded fund (ETF) includes companies from food and drug retailing, beverages, household products and personal products. Items that are clearly essential to daily living.

With a single stock -- XLP you will get shares of such noted companies as the Coca Cola Co. (NYSE: KO), Colgate Palmolive (NYSE: CL), Kraft Foods Inc. (NYSE: KFT), PepsiCo Inc. (NYSE: PEP), Procter & Gamble Co. (NYSE: PG), and Wal-Mart Stores (NYSE: WMT). These are all well-known household names that will continue to be market leaders in any financial environment. If you want to invest in things that people need, XLP is a sound choice.

With the shift of power in the United States one of the hot topics is obviously America's dependence on oil and fuel consumption. During the coming administration we're likely to see a change in the energy field as new options are sought. It's likely that there will be some newcomers to the industry, but most likely the old standards will continue to pave the way for the future of energy.

I doubt that there will be any disruptive technologies to change the utilities in my lifetime. By investing in an exchange traded fund (ETF) consisting of a basket of utilities you will have a safe bet on energy. Utilities Select Sector SPDR (XLU) includes electric utilities, multi-utilities, independent power producers, energy traders and gas utilities.

You'll own companies such as Exelon Corp. (NYSE: EXC) a utility services holding company, Southern Company (NYSE: SO) who uses subsidiaries in the generation, transmission, distribution and sale of electricity, Dominion Resources, Inc (NYSE: D) a provider of electricity and natural gas to the eastern United States, and Duke Energy Corp. (NYSE: DUK) an energy company in the Americas. XLU also gives you a diversified basket of dividend paying stocks. Over the past year, XLU has paid about $1.20 which is currently a 4.3% yield on a $28 stock which down 33% this year (which means your dividend yield is higher). That's a lot better than 10 year T-Bills and the stocks in this index could appreciate as well.