3 Stocks That Show the Market Isn't Counting on a Recession
Economists have historically done a bad job at predicting recessions. But they usually don't lack conviction. Right now, not many are sure what comes next for the economy. There is ample data to support any opinion. That's why it's interesting that shares of companies that cater to wealthy consumers like LVMH Moët Hennessy (OTC: LVMHF), Hermes (OTC: HESA.F), and Ferrari (NYSE: RACE) are back at all-time highs.
Although Ferrari is a household name, many may be unfamiliar with the iconic Birkin or Kelly bags of Hermes. Most are between $10,000 and $100,000. And even if you are willing to spend that, you can't just walk into a store and grab it off the shelf. They have waiting lists of months to years, and many customers begin their collection having to buy one at auction. The products of LVMH Moët Hennessy Louis Vuitton (LVMH for short) are more accessible. It recently became the first European company to reach a $500 billion market capitalization and its CEO is the world's richest man. Aside from the namesake brands, it houses dozens of others including iconic names like De Beers and Tiffany, Dom Perignon, and Christian Dior.
Those don't seem like the the types of companies Wall Street would covet when headlines point to inflation, recession, and bank failures. Let's take a look at the data to get a better idea of what investors might be thinking.
Source Fool.com
