New inflation data is due this week

[CLICK HERE JOIN OUR LIVE TRADING & TRAINING SESSIONS]( Hello investor, New inflation data is due this week Guess what? We will get new data on inflation with the CPI due to report on Wednesday. This is one of several key economic data that will be released this week. Retail sales, PPI, business inventories, initial jobless claims will be out on Thursday. So, Wednesday and Thursday will be busy days for Wall Street. The dollar has been on fire in the last eight weeks. Why? Traders bet that the Fed Reserve will keep interest rates elevated for longer after a string of strong economic data. This winning streak was the longest since 2005. (Source: Bloomberg) Several Fed Reserve officials indicated that they are likely to leave rates unchanged during its September meeting. Fed Bank of New York President John Williams said last week that the current policy is “in a good place.” His Dallas counterpart Lorie Logan also said that a pause is appropriate, but she also warned that there may be rate hikes down the road. Possible rate hikes could slow down the economy further, some Wall Street analysts said. - “Overall, the market will be looking for direction amid recent choppiness and concern that the economy is set to slow down in the coming quarters,” said Yung-Yu Ma, chief investment strategist at BMO Wealth Management. Ma also believes that the CPI and PPI will move higher due to higher energy prices. - “Both CPI and PPI inflation reports will highlight the importance of oil price, which has pushed toward the upper end of its one-year trading range,” Ma said. “A break above $90/barrel for WTI would start to cause concerns for future price pressures in the economy.”  Buy This “Forever” Stock And Hold For A Decade Today’s Stock Pick: Accenture Plc ([ACN]() Accenture is as solid as any stock pick you can make. It is one of the world's largest IT service companies with IT professionals (based in 50 countries) offering a wide range of services to approximately 7,000 clients across 120 countries. Most of those clients are Fortune 500 and Fortune 1000 companies. (Photo: Alamy) Two words to describe Accenture: steady grower. Between 2016 and 2022, Accenture's annual revenue rose at a compound annual growth rate (CAGR) of 10%. Obviously, it is not a dizzying growth. But it’s all about shareholder returns. Its annual free cash flow doubled in five years – going from $4.1 billion in 2016 to $8.4 billion in 2021. (Source: Accenture) We chose this stock for a reason. It’s all about cash flow in the next few years. With rising interest rates, even tech companies can’t get away with massive growth. Investors want to see cold, hard cash. And Accenture generates plenty of them. Excellent revenue growth: Accenture plays in five key industries – (1) communications, media, and tech, (2) financial services, (3) health and public services, (4) products, and (5) resources. In the table below, you’ll see that Accenture posted solid growth in all segments except for Communications, Media & Technology: (Source: Accenture) The growth came from Accenture’s focus on high-growth segments like cloud, interactive, security, and digital transformation. Earnings guidance: It would be business as usual for Accenture. It expects adjusted earnings growth for FY23 to be between 7% to 9%. Stable earnings and margins: The company’s margin is very solid, with the guidance forecasting its margin at about 14.1%. That’s good guidance for a safe company like Accenture that returns a lot of cash to shareholders. Shareholder returns: Accenture loves to reward shareholders through dividends and share repurchases. Dividends grew 10% CAGR over three years, and share repurchases jumped by 15% three-year CAGR. (Source: Accenture) Your current dividend yield would be about 1.46%, and that would grow bigger if you hold the stock for a decade. You can easily see as high as 10% return from dividends alone. Bottom line: Nearly every major corporation is looking to digitalize its operations. Go digital or die. Therefore, Accenture plays in a hot industry, and its business stability offers you a safe annual return. It is not an exciting stock, but you can count on a double-digit percentage return per year.   [CLICK HERE JOIN OUR LIVE TRADING & TRAINING SESSIONS](     © All Rights Reserved, Trade Alliance  If you no longer want to receive these messages, you may [click here]( to unsubscribe.