Investors are rediscovering the charms of boring stocks.
Anxieties over the Federal Reserve’s plans to tame inflation by raising interest rates have buffeted the stock market, sending the S&P 500 down 13% this year and 8.8% in April, alone. Technology stocks have faced particularly intense pressure, leaving the Nasdaq Composite off 20% for the year and 13% for the month.
Instead, investors appear to be turning their focus to companies offering everyday necessities—a preference that has been amplified as many such companies post strong quarterly results. The consumer-staples group was the sole S&P 500 sector in the green for April, with a gain of 2.4%. The segment fell 1.3% Monday as tech stocks advanced for the day.
Almost 90% of the staples companies that have reported this season through midday Monday have logged profits above analysts’ estimates,…
