3 Stocks to Add to Your Portfolio in a Market Pullback
November saw a surprising surge in the major indices as inflation came in lower than expected. This data gave investors confidence that the U.S. Federal Reserve could ease up on interest rate hikes and -- hopefully -- start lowering them once inflation hits the target of 2%. The Nasdaq Composite index jumped by close to 10% over four trading days, while the bellwether S&P 500 Index rose 6.5%.
It's still early, though, and inflation could still come roaring back with a vengeance. While it's nearly impossible to predict how inflation and interest rates will move, you can stand prepared to buy stocks in case of another market pullback. You should focus on companies that are still growing and can retain their appeal as market leaders within their respective industries. It's crucial that these businesses also be able to tap into long-term sustainable trends.
Here are three stocks you can consider adding to your portfolio should the market suffer another drop.
Source Fool.com
