Consumer staple stocks (XLP) have faced growing pains as inflation and recession fears lead consumers to cut back on purchases. Product trade downs, even on basic household necessities, are denting margins for companies like supermarket giant Kroger (KR). Yahoo Finance Retail Reporter Brooke DiPalma analyzes the setbacks companies have faced amid thriftier customer habits, providing insights into the new minimum pay requirements for food-delivery platforms like DoorDash (DASH) and Uber (UBER). For more expert insight and the latest market action, click here to watch this full episode of Yahoo Finance Live.
Consumer Staples is the third worst performing sector this year, but early earnings results show sentiment towards the sector may soon shift.
Rising rate worries have been prevalent in the United States as the U.S. economy is recovering steadily and the inflation remains sticky.