Although inflation is down from its highs, policymakers believe it remains ‘too high’ and have signaled further rate hikes as opposed to their previously announced pause. Given this backdrop, fundamentally sound momentum stocks American Airlines Group Inc. (AAL), Air Canada (ACDVF), and Accel Entertainment, Inc. (ACEL) might be wise investments in June.
According to the latest Bureau of Labor Statistics data, U.S. inflation is coming off its sky-high prices. The Consumer Price Index (CPI) increased 0.1% over the last month and 4% year-over-year in May. However, as it remains twice above the 2% target level, most FOMC participants have agreed on additional interest rate hikes toward the year-end.
