Overweight The S&P household products index got a solid lift last week on the back of upbeat earnings from sector heavyweight Procter & Gamble (PG), though this was also part of a greater rotation into consumer staples. PG…
However, the S&P packaged foods sub-index has not participated in the rebound. These exports-oriented stocks have been held back by trade and currency headwinds. Still, we remain constructive on the index as those handicaps…
Consumer staples stocks have been staging a recovery late in the year, buoyed by an exceptionally strong consumer. However, the S&P packaged foods sub-index has not participated in the rebound, held back by trade and currency…
Neutral U.S retailers have been surging recently as customers have been piling in faster than they have in a long time. Walmart reported results last week showing a 4.5% increase in same-store sales and a 40% increase in…
Please note that our next publication will be a joint special report with BCA’s Geopolitical Service that will be published on Wednesday, August 1st instead of our usual Monday publishing schedule. Further, there will be no…
Underweight The S&P soft drinks index has been rallying for the past month after finding its decade low in mid-May. The rally appears to be driven by eroding fears of margin impacts from aluminum tariffs, demand destruction from…
Overweight Investors have deserted consumer staples stocks at a dizzying speed as this safe haven sector has lost its allure. Our sense is that this consumer staples wholesale liquidation provides a great buying opportunity, especially…
Overweight Not only have investors shunned consumer staples stocks in general, but the S&P packaged foods sub-index has also suffered, even trailing the broad staples sector. We are not willing to throw in the towel in this staples…
Highlights Portfolio Strategy A rare buying opportunity has emerged in the S&P consumer staples index, especially for long-term oriented capital. The bearish story is already baked into current valuations, and industry green-…