While any kind of economic rebound appears to be at least several months away there is never any harm at looking into the future. In fact, if you can predict what areas will do the best when the economy does rebound, you can do yourself a lot of good both from an investing standpoint as well a career standpoint.  During an economic recovery there are always sectors that lead the move, and it is a great idea to try to do your due diligence and decide which you believe may fit that criteria, even though it may take time to come to fruition.

The typical businesses that thrive as the economy rebounds are manufacturing and construction companies that begin to bounce back nicely because economic activity is picking up once again. In addition to those, retail names generally do well when the economy recovers because of the increase in consumer confidence and spending. Cyclical names that are out of favor generally come back into favor quite quickly during an economic rebound.

Will the economic rebound that comes after this major recession look like a normal rebound? That really is the million dollar question. There are some factors which may delay the recovery in some groups that typically recover quickly. For example, the banking industry is generally one of the first to move higher, but it may be hard pressed to bounce back right away after the debacle of the credit crisis. On the other side of this there may be areas that are bigger winners than normal. One possible area that could do very well in the recover is alternative energy companies. Even manufacturing and industrial companies that are in front of their peers in “going green” are liable to bounce quicker. I truly believe that the move toward a greener world is not a short-term blip this time, but rather a real and serious effort that can be profitable for companies.