As the US increasingly faces the prospect of heading into a recession one sector that investors gravitate to is consumer staples. The logic is that consumers still need to buy certain products, but they will instead gravitate towards stores targeting lower-budget consumer. Companies like Coca-Cola for instance tend to do well because most consumers can still spare some disposable income for a relatively inexpensive purchase like a bottle of coke.
By using Seasonax’s seasonality screener you can quickly drill down into the seasonal pattern coming up for the key consumer staple companies like Walmart, Costco, Coca-cola, and many more. So, will you be buying into consumer staples as the US stock market grinds lower on expectations of higher interest rates?
Major Trade Risks: The major trade risk would come from individual news coming out from stocks that impact their outlook.
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