The market continues to look for direction as investors are wondering if the economy is heading for a recession. One of the key indicators they're watching is inflation. It's down from the 40-year highs it was at one year ago, but it is still above the Fed's target 2% rate. And rising oil prices make it a near certainty that inflation will be higher – or at the very least stay above the Fed's target – six months from now.
That's negative for stocks but not for all stocks. Certain categories of stocks perform well even when inflation is rising. One of these sectors comes from consumer staples stocks. These companies make products that consumers need (e.g., food, groceries, medicine). More importantly, these companies have pricing power. That means they can pass along higher producer costs they bear to the consumers.
Here are seven consumer staples stocks that are likely to show strong revenue and earnings growth that will likely support a higher stock price.
Click the "Continue to Slide #1" button to view the first company.
