The latest Fed meeting minutes suggest the central bank may continue to raise interest rates. However, the steady increases of the past year are over. With interest rates likely near, if not at, their cycle peak, some investments look better than others. Fixed income could perform well here, as prices on assets like bonds will rise as interest rates move lower. But it’s also likely that we’ve seen the worst of the selloff in defensive parts of the market, such as utility stocks. That’s because utilities tend to be bond-like investments, given their low growth profile and steady cash ...

The past few months have seen retail stocks underperform on concern that consumers have been slowing their spending. The latest retail sales data indicates that consumers are fine overall. If anything, they’re just cutting back on spending unless they can get a big bargain. Investors looking at the retail space should focus either on companies that can offer big, regular sales, or on big box stores that cater to consistent demand. Home improvement chainHome Depot (HD) is in the latter category. Consumers need to maintain their homes, even if they can’t always get a big sale to buy...

Value investors can have a tough time when it comes to investing. They can recognize that a company is trading at a discount to its value. But short of taking it private, it’s hard to get that value unlocked. It takes time and patience. Recently, a proposed merger agreement led to a rejection by the company that was set to be taken private at a premium to where its shares traded. Typically, a rejection would mean shares would trend lower. In this case, they moved higher. The market now sees upside in the company’s shares if they go private. The company?U.S. Steel (X). CompetitorCl...

The market may not like the fact that inflation’s decline this year has started to stall out. While inflation does look likely to start showing signs of staying in the 3-4 percent range, some investments fare better than others in an inflationary environment. The best investment for this scenario is for a company that offers a service and can raise prices far higher than inflation. It’s also best if they don’t have anything to physically manufacture and produce. The winner here is insurance companies, particularly in the property and casualty space. Auto insurance rates jumped over 2...

While stocks can trend higher or lower for long periods of time, they will occasionally take a breather. That can provide a buying opportunity for investors, particularly for great companies pulling back. Over the long haul, buying a great company on a drop can lead to better returns than buying high and hoping to sell higher. Traders who wait for companies to come off of overbought conditions get the reward of market outperformance for their patience. ChipmakerNvidia (NVDA) has been a runaway winner this year. But shares have now pulled back more than 10 percent from their all-time ...

Companies that succeed over the long term continue to find new ways to offer value to their customers. Some of that value can come from providing new products and services that compliment existing ones. Other companies offer better value with a higher quality user experience, with better service and interest. No matter what the specifics are, companies that continue to find new ways to drive customer satisfaction will continue to see customers return time and again. RetailerTarget (TGT) has been working to increase sales by offering curbside pickup. Now, the company is rolling out an...

Some sectors of the market are cyclical, moving in and out of favor with investors. Typically, a stock that gets overbought will see a big correction. And stocks that get oversold will come roaring back. In today’s market, looking for oversold opportunities looks like a good way to buck a possible market pullback after a strong run this year. Investors who buy such companies may see some volatility, but could make big returns in a few months to a year. One oversold stock looking to move higher isParamount Global (PARA). The media giant has posted improved streaming subscriber numbers...

Investing is a marathon, although with all the day-to-day news and quarterly earnings report, it may not always feel like that. A handful of companies get their focus right, looking at the long haul versus short-term moves. Those companies may not always please investors during their quarterly earnings reports. But all companies will have a disappointing quarter from time to time. Great companies don’t let it faze them at all. ConglomerateBerkshire Hathaway (BRK-B) is one such company. A mix of fully-owned businesses and insurance operations, the company can have wildly mixed returns...

Every few years, if less, investors find a new tech story to love. The past few years has seen interest shift to artificial intelligence, following an interest in the growth of electric vehicles, as well as blockchain and cryptocurrency technology. One trend is a bit older, having been around for nearly 10 years. And as a more mature trend, it’s leading to big cash flows and profits for companies embracing it now. That trend is the cloud. Cloud services have grown tremendously in the past decade, allowing a number of big tech companies to grow even larger. This earnings season, th...

Stocks that lead the market in one year will likely lag the next. The reverse is also true. Even during a bull market, some stocks and sectors soar higher, while others underperform. But they tend to win out when the trend shifts. This year’s market rally has been driven by tech stocks. And fears of a slowdown in consumer spending have hit companies with strong brands hard. But companies lagging this year could still be winners in the months ahead. One potential winner isNike (NKE). The footwear and apparel manufacturer has been a market laggard so far this year. But that could be ab...