After the stronger than expected jobs report, the next big data point will come on Thursday when the consumer price index figures for September are released. While inflation likely has peaked, the number will come in way above the Federal Reserve’s 2% target rate. That, added to the start of the third-quarter earnings reporting season, could stir up the volatility cauldron, and for shell-shocked investors the best move may be to the safest Warren Buffett stocks.
The Federal Reserve has stated its intent to have the funds rate up to 4.40% to 4.60% by the end of the year. That implies yet another 75-basis-point increase in November and a 50-basis-point raise in December. That does not bode well for stocks, so now it makes sense to raise as much cash as possible. For those looking to add new positions now, we found seven Warren Buffett favorites that can weather what looks to be an impending storm for stocks.
This post appeared first at 24/7 Wall St.