Think of your daily Starbucks, burgers and fries from MacDonald, casual Nike shoes - I expect these stocks to continue to do well. Of course, there will always be a group of people who because of inflationary costs begin to cut down on these stuff but the MAJORITY will continue to be consumers !
WHY? Blame it on consumers behaviours - what you do daily consciously will become a subconscious habits. Imagine passing by your Starbucks store to get your share of caffeine kick daily and grabbing your burger for lunch. Will you start to whip out your calculator and start comparing if you should try other stores to save a dollar or more ?
Like I said, there will be some people who will do that but many of us won't! And it is for these sticky habits that drives the business of these Consumer Discretionary stocks to continue to rally.
Please DYODD.
WHY? Blame it on consumers behaviours - what you do daily consciously will become a subconscious habits. Imagine passing by your Starbucks store to get your share of caffeine kick daily and grabbing your burger for lunch. Will you start to whip out your calculator and start comparing if you should try other stores to save a dollar or more ?
Like I said, there will be some people who will do that but many of us won't! And it is for these sticky habits that drives the business of these Consumer Discretionary stocks to continue to rally.
Please DYODD.