Close Menu

    Subscribe to Updates

    Get the latest creative news from FooBar about art, design and business.

    What's Hot

    For Donald Trump’s Birthday, There Will Be Blood On The South Lawn

    June 1, 2026

    What Is Airbnb For, Exactly?

    June 1, 2026

    The Useful, Flawed Math of Buying Clothes by the Numbers · Primer

    June 1, 2026
    Facebook X (Twitter) Instagram
    Trending
    • For Donald Trump’s Birthday, There Will Be Blood On The South Lawn
    • What Is Airbnb For, Exactly?
    • The Useful, Flawed Math of Buying Clothes by the Numbers · Primer
    • ‘Rucking’ Is The Walking Trend You Need To Try. Here’s Why.
    • A master class in persuasion from an unlikely place
    • Erin Brockovich takes aim at data center secrecy
    • Why Disney World Just Had Its Biggest Week in Years.
    • AAVE Price Prediction: $75 Retest Imminent Before Potential $95 Breakout
    Facebook X (Twitter)
    SBM Global News
    Demo
    • Home
    • Top Stories
      • Politics
    • Business
      • Small Business
      • Marketing
    • Finance
      • Investment
    • Technology

      Erin Brockovich takes aim at data center secrecy

      June 1, 2026
      Read More

      IntuitionLabs – Company Profile – AllBusiness.com

      May 31, 2026
      Read More

      Founders seize on Indian court ruling to revive criticism of Google’s ad business

      May 30, 2026
      Read More

      Digisutra Solutions – Company Profile

      May 30, 2026
      Read More

      Slate Auto will announce pricing and take preorders for its EV on June 24

      May 29, 2026
      Read More
    • Lifestyle
      • Travel
    • Feel Good
    • Get In Touch
    SBM Global News
    Demo
    Home»Investment»Take profits if March CPI only matches expectations, investors say
    Investment

    Take profits if March CPI only matches expectations, investors say

    By Staff WriterApril 10, 20244 Mins Read
    Facebook Twitter LinkedIn Reddit Email
    #image_title
    Share
    Facebook Twitter LinkedIn Pinterest Email

    Now may be the time to build positions in losing stocks, with March’s key inflation report unlikely to come in better than economists’ expectations, according to two investors. Jeff Kilburg, founder and CEO of KKM Financial, believes that Wednesday’s consumer price index reading is likely to either match expectations, or settle higher. Given the current strength of the U.S. economy and consumer spending, not to mention the five-month rally in stocks, Kilburg sees little chance of inflation easing soon. As evidence of investor nervousness over the chance of stubborn inflation being reported Wednesday, Kilburg pointed to the sell-off that plagued stocks late Tuesday morning before the market bounced back. “You were seeing today a little bit of nervousness in some of the names that have really enjoyed the belief that interest rates” are coming down, Kilburg said in an interview. “If you think of tech, if you think of some of the rate-sensitive names, you’re seeing some profit-taking today. That’s by and large because people have to be prepared for the fact that if we have hotter-than-anticipated CPI data then the Fed may be forced to not kick off this interest rate-cutting campaign.” Kilburg is prepared for as much as a 5% pullback in the S & P 500 if March’s consumer price index does come in much higher than economists have estimated. “No one’s ever gone broke taking profit,” he added. Mike Bailey, director of research at FBB Capital Partners, agrees with Kilburg’s assessment that the CPI report will do no better than match expectations, and might well come in worse than forecasts. “There’s more upside risks than downside risks,” Bailey said of the inflation outlook, “just looking at all the other metrics we’ve seen suggesting it,” such as the surprisingly strong March nonfarm payrolls and February factory orders reported last week. Buy more stocks lagging the market With inflation likely to do no better than come in as expected, Kilburg is focused on trimming some of his winning positions, including Meta , Nvidia and Amazon , but not exit them entirely. Conversely, Kilburg is adding to positions that have lagged the market, such as industrial and health-care stocks. He highlighted UnitedHealth , Lockheed Martin and 3M as among his favorite “boring, blue-chip names.” “Those are three names that I believe are blue chip, essential names to the U.S. economy,” he said. Post-it note and adhesive maker 3M, for example, earlier this month completed the spinoff of Solventum , its health-care business. UnitedHealth and other health-care stocks are also trading at a discount, Kilburg said, citing Johnson & Johnson as a potential winner. “J & J is a name where it hasn’t really seen the momentum, so I think there’s an opportunity and a discount there as well as a laggard,” he said. Buy cyclical names Bailey, formerly a health-care analyst at Legg Mason and Stifel Financial before joining FBB in 2015, expects a hotter-than-forecast inflation report on Wednesday would take stocks lower. In that event, defensive stocks with high dividends in real estate, utilities, consumer staples and telecommunications — what Bailey called RUST stocks — are likely to come under pressure as their dividends fail to compete with Treasury yields. Hot inflation could also make long-term technology earnings look less attractive, leaving them vulnerable to a downdraft. But cyclical stocks that stand to benefit the most from economic growth tend to outperform when inflation is high, Bailey said, citing financial, energy and industrial companies. Bailey is especially keen on financials, preferring insurance stocks or companies exposed to that industry. He highlighted Marsh & McLennan , Progressive and Berkshire Hathaway as examples, and also thinks Visa stands to gain. “Visa is in between a tech company and a financial, but higher prices go straight to their bottom line,” Bailey said. The Johns Hopkins MBA also sees the larger, diversified banks as attractive in a climate of higher inflation and interest rates. Among industrial, transportation and energy providers, Bailey touted Union Pacific , Old Dominion Freight Line and Chevron as stocks he likes. Returning to his former specialty, Bailey said UnitedHealth stands to benefit from the same tail winds as the insurance industry by being able to pass on costs from higher-than-expected inflation.

    View original article here

    Share. Facebook Twitter LinkedIn Email Reddit
    Previous ArticleSmall business optimism hits 11-year low as inflation fears won’t go away
    Next Article USPS Proposes Another Stamp Price Increase

    Related Posts

    AAVE Price Prediction: $75 Retest Imminent Before Potential $95 Breakout

    June 1, 2026
    Read More

    The Lowest Consumer Sentiment EVER

    May 31, 2026
    Read More

    AAVE Price Prediction: $95 Reclaim or $75 Breakdown Within 48 Hours

    May 30, 2026
    Read More
    Add A Comment

    Leave A Reply Cancel Reply

    Demo
    Top Posts

    Former FBI, CIA Head Has ‘Serious Concerns’ With Trump Cabinet Picks

    December 28, 2024435

    Emirates to operate next-gen A350 on the third daily service to Cape Town

    January 14, 2026256

    AAVE Price Prediction: Target $215-225 by Mid-January 2025 as Technical Indicators Signal Bullish Momentum

    December 15, 2025240

    Ventive Hospitality Joins Green Fins: Strong ESG Lift

    February 17, 2026211
    Don't Miss
    Politics

    For Donald Trump’s Birthday, There Will Be Blood On The South Lawn

    By Staff WriterJune 1, 202611 Mins Read

    WASHINGTON ― For Donald Trump’s 80th birthday, he is giving himself the gift of blood…

    Read More

    What Is Airbnb For, Exactly?

    June 1, 2026

    The Useful, Flawed Math of Buying Clothes by the Numbers · Primer

    June 1, 2026

    ‘Rucking’ Is The Walking Trend You Need To Try. Here’s Why.

    June 1, 2026
    Stay In Touch
    • Facebook
    • Twitter
    Demo
    About Us

    Small Business Minder brings together business and related news from around the world in one place. Follow us for all the business news you'll need.

    Facebook X (Twitter)
    Our Picks

    For Donald Trump’s Birthday, There Will Be Blood On The South Lawn

    June 1, 2026

    What Is Airbnb For, Exactly?

    June 1, 2026
    Most Popular

    Former FBI, CIA Head Has ‘Serious Concerns’ With Trump Cabinet Picks

    December 28, 2024435

    Emirates to operate next-gen A350 on the third daily service to Cape Town

    January 14, 2026256
    © 2026 Small Business Minder
    • Home
    • Get In Touch

    Type above and press Enter to search. Press Esc to cancel.

    Ad Blocker Enabled!
    Ad Blocker Enabled!
    Our website is made possible by displaying online advertisements to our visitors. To get the most from our site, please disable your Ad Blocker.