The rally to start 2023 was a welcome relief for investors after a brutal 2022. While it was nice while it lasted, the incoming inflation data from January will not be a welcome guest. The headline number and the core, which subtracts the volatile food and energy component, were both higher on a year-over-year basis. The month-over-month numbers were reported in line, but the Federal Reserve will take note of the increase.
Toss in the fact that forward earnings-per-share growth has turned negative, which has only happened four times in the past quarter century. However, each time it has, the stock market has taken a beating and equities have traded lower. So, what is the smart move for investors now? Seek some safe havens, as the coming months could be difficult.
We screened our 24/7 Wall St. equity research database looking for Buy-rated stocks that can withstand a brutal market sell-off and, importantly, come with big and reliable dividends.
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