January 13, 2022, 2:48 pm EST
Food Is Essential
Food is essential regardless of stock market performance or the COVID-19 situation. In fact, the trouble of the financial markets or widespread diseases could stir up the demand for food.
This is what we saw today both from our portfolio position in Kroger (KR) +6% and the industry strength in the food industry (SYY, TSN, K).
We bought KR exactly a month ago (12/13/2021). It accumulated about 9-10% gains as of now. Although the broad market is on the red color with the Nasdaq losing near -1.7%, our food-related positions are in a positive area.
We believe that essential items and services should perform relatively well during uncertain times. Thus, the consumer staples sector and food industry are few available investments for the time being.