12 months ago, tech was the market's favorite sector, and it would prove to be the worst time to buy. Now, consumer staples are increasingly talked about. As you suggest, this could be a red flag for future returns. Do you have a view?
I would THINK it unlikely staples will fall as much as tech has (some tech in particular, like the pandemic favorites)
And there MAY be juice left in the staples trade seeing how they often (not always, see 2008) do well during recessions -- today's WSJ indicator notwithstanding.
Edit: Posted three replies by mistake by substack is on crack this morning
12 months ago, tech was the market's favorite sector, and it would prove to be the worst time to buy. Now, consumer staples are increasingly talked about. As you suggest, this could be a red flag for future returns. Do you have a view?
I would THINK it unlikely staples will fall as much as tech has (some tech in particular, like the pandemic favorites)
And there MAY be juice left in the staples trade seeing how they often (not always, see 2008) do well during recessions -- today's WSJ indicator notwithstanding.
Edit: Posted three replies by mistake by substack is on crack this morning