Fed’s Rate Decision Looks Good for These Stocks

It’s all about the consumer… [Turn Your Images On] [Fed’s Rate Decision Looks Good for These Stocks]( Editor’s Note: Adam O’Dell’s Green Zone Power Ratings are at the core of everything we do at Money & Markets. Adam just used his proprietary system to find his next batch of recommendations for Infinite Momentum Alert,his elite stock advisory. He’s releasing his top 10 stocks to hold for the next four weeks today! [Click here]( to see how you can access his recommendations. [Turn Your Images On] [Chad Stone]( Managing Editor Federal Reserve Chair Jerome Powell donned his cap and delivered some early holiday cheer this week… No one was surprised by the Fed’s decision to hold interest rates steady between 5.25% and 5.5% as inflation continues to cool. But projections for 2024 sent Wall Street into a frenzy! After the central bank signaled three potential rate cuts next year, investors jumped in. The Dow Jones Industrial Average closed above 37,000 for the first time ever on Wednesday, and the S&P 500 hit a new 52-week high at 4,707. Bullish traders pushed all three major indexes higher again on Thursday as well. Inflation and the Fed’s response was the dominant theme of 2023. While meetings didn’t feel as dire as last year (a massive bull market run helps), investors are paying attention to Powell and his team. This short-term rally is proof of that. With that as a backdrop, I wanted to break out Adam O’Dell’s Green Zone Power Ratings [system]( to find some stocks that could benefit from a more dovish Fed. Let’s get into it! A Confident Consumer Your first inclination when you hear lower interest rates may be to look for a growing tech company to invest in. Borrowing will become cheaper as rates sink, and that means more available capital to fuel growth. But I want to go a different direction first… With inflation cooling, consumers will gain more confidence. We’re already seeing that play out. Economists expected weak retail sales in November, citing inflation concerns. But the Commerce Department [reported]( a 0.3% increase in sales for the month. That tells me consumers are weathering the storm better than expected, and that’s a great sign for certain retail stocks like Costco Wholesale Corp. (Nasdaq: COST). It turns out COST stock already has a “Strong Bullish” rating at 84 out of 100. [Turn Your Images On] [(Click here to view larger image.)]( Stocks in this highest tier of the ratings system are expected to outperform the broader market by 3X over the next 12 months! Honestly, COST has all the trappings of a high-growth tech stock. It sports strong ratings on Momentum, Growth and Quality (with low Volatility as a bonus). Low Value and Size ratings are also very tech-like. Just look at stocks like [AMZN]( or [META](. This is what happens when you use a system like Green Zone Power Ratings consistently. You start to notice trends and common ground between stocks and industries. And that can uncover unexpected opportunities. That’s exactly what happened with the second stock I have today. --------------------------------------------------------------- [Turn Your Images On]( From our Partners at Banyan Hill Publishing. [What You Need to Know About the Middle-Class Massacre]( A looming financial event that one expert calls the “Middle-Class Massacre” will soon devastate millions of hardworking Americans. When it strikes, and all his research proves it will strike in 2023, he predicts stocks will crash 50% ... real estate will be slashed in half ... unemployment will surge to record highs ... and the wealth of millions will be decimated as the biggest bubble in history bursts. [Go here for the full story…]( --------------------------------------------------------------- A Strong Bullish Surprise This is my first bout with sustained higher inflation in my adult life, and it has changed my spending habits. Gone are the days of just walking into an unknown restaurant and trying whatever looked good on the menu. Now, I spend more time vetting a spot because there’s nothing worse than spending $25 on a bad meal. And if Yelp Inc.’s (NYSE: YELP) Green Zone Power Ratings are any indication, I don’t think I’m the only one. [Turn Your Images On] [(Click here to view larger image.)]( YELP stock rates a “Strong Bullish” 96 out of 100. That puts it in the top 4% of stocks in the system! Yelp managed to grow its operating income to $41.8 million in the third quarter, according to its latest [earnings report](. That’s a 470% jump year over year and a big reason why YELP stock rates a 97 on Quality. What’s more, Yelp rates higher than many tech stocks on Size and Value at 51 and 53, respectively. This is a smaller stock ($3.1 billion market cap) that investors haven’t bid up to exorbitant valuations like some of its tech peers. I’m not going to lie — I was a little shocked to see how well YELP rates. I thought for sure it’d be a dog on Size and Value, especially. But that’s why I love using Adam’s Green Zone Power Ratings. It can reveal incredible stock opportunities in moments. Just go to [our homepage]( and try it yourself. Look for either the big button below, or just click on the search bar and type in a ticker or company name. [Turn Your Images On]( In seconds, you’ll know whether a stock is set for strong outperformance over the next year. Or you’ll find another stock to avoid as you prep for 2024. Simple as that. Time to Reflect and Plan As we zoom toward the end of the year, we’re going to give you everything you need to make next year your best as an investor yet! Over the next couple of weeks, the Money & Markets team will look back — and look ahead. We’ll highlight some of our best calls from 2023, dive into some top macroeconomic trends and tell you what’s on our radars in the markets for 2024. Stay tuned! [Chad Stone]( Managing Editor, Money & Markets --------------------------------------------------------------- Check Out More From Stock Power Daily: - [1 WORD FOR COP28’S MASSIVE ENERGY DEAL]( - [LIKE CHOCOLATE AND PEANUT BUTTER…]( - [2023 WAS THE YEAR OF THE MAGNIFICENT 7]( --------------------------------------------------------------- [Turn Your Images On]( Privacy Policy The Money & Markets, P.O. Box 8378, Delray Beach, FL 33482. To ensure that you receive future issues of Money & Markets, please add info@mb.moneyandmarkets.com to your address book or [whitelist]( within your spam settings. For customer service questions or issues, please contact us for assistance. 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