- Discount retailers could outperform other companies in the consumer staples sector if we enter into a double-dip recession.
- Companies that produce essential goods behave differently than discount retailers like Walmart, even though they all fall under the broad umbrella of consumer staples.
- Especially high inflation and rising unemployment could negatively impact consumer staples products more than discount retailers.
- I believe there is a significant risk that the U.S. is facing both high inflation and high unemployment.
For further details see:
Walmart Set To Benefit From Double-Dip Recession