RHS News and Press, Invesco S&P 500 Equal Weight Consumer Staples From 01/04/23

Summary I expect traditional fossil fuel energy companies to continue to excel, rising to up to 30% of the S&P 500 in the upcoming years as technology stocks continue to shrink. After the most aggressive series of rate hikes in decades, inflation is finally moderating. Whether or no...

Summary Inflation continues to moderate, not only here, but also in Europe. Despite the negative economic reports and the reaction to the Fed rate hike, the US Dollar barely budged for the week. Value yet again outperformed Growth in the last week, this time by a spread of almost 1%...

Summary CPI rose only 0.1% in November and 7.1% in the past 12 months. The monthly CPI was lower than the economists’ consensus expectation of 0.3%, and that triggered a massive bond rally that caused Treasury yields to plummet. The Fed never fights market rates, so even thou...

Summary Household products look relatively safe regarding valuation and quality metrics. Other subsectors are overvalued relative to historical averages, or have a bad quality score. IYK: An alternative to XLP for long-term investors. 4 stocks cheaper than their peers in Decembe...

Summary Expectations surrounding central bank policy, China’s gradual reopening and a lower US dollar are key to investor sentiment in the final stretch of 2022. Central banks have increased interest rates at the fastest rate on record, and there are signs that higher yields are ...

Summary Total nominal retail sales and food-services spending rose 1.3 percent in October after being unchanged in September. From a year ago, retail sales are up 8.3 percent and remain well above the pre-pandemic trend. Nominal retail sales excluding motor vehicle and parts d...

Summary Food and household products are close to their historical baseline in valuation and quality. Staple/food retail is the most overvalued subsector. FXG, a “value or growth” ETF in consumer staples. 10 stocks cheaper than their peers in November. ...

Summary To date, 143 of the 204 companies in our Retail/Restaurant Index have reported their EPS results for Q3 2022, representing 70% of the index. Of those companies that have reported their quarterly results so far, 69% announced profits that beat analysts’ expectations,...

Summary The Refinitiv U.S. Retail and Restaurant Q3 earnings index, which tracks changes in the growth rate of earnings within the sector, is expected to show a weak 1.6% growth over last year’s levels. Even as higher food prices eat into spending power, consumers also have...

Summary In today's issue of the 1-Minute Market Report, I examine the market bounce since the October low, and highlight the areas of the market that are leading the way higher. On Thursday, for every stock that was down, there were 26 that were up. For the first time since August...