Ever since the credit crunch shook the markets in August, consumer staple stocks like Coca Cola and Procter and Gamble have surged higher.
Will the gains continue?
Consumer staples are classic defensive plays says Oppenheimer Chief Market Technician Carter Worth on CNBC’s Closing Bell. These very mature sort of household names such as Coke (KO), Pepsi (PEP), Colgate (CL) and McDonald’s (MCD) all spiked since the credit crisis took hold in July. At this point I think their advances are unsustainable. Sell them, he advises.
What’s a buy?
We’re overweight energies and refiners look good, says Worth. I like the way they’re acting and refiners should be beneficiaries of money flow.