The stock market has faced intense selling pressure lately due to concerns over continued geopolitical and macroeconomic issues. Investors have been concerned over aggressive interest rate hikes by the Federal Reserve to tame the multi-decade high inflation, supply disruptions arising out of the continuing Ukraine-Russia war, rising energy and commodity prices, and the possibility of a recession.
Many analysts believe that if the Fed raises interest rates too quickly and aggressively, it might push the economy into a recession. Grocery stocks are considered recession-resistant stocks, as they witness steady demand even during an economic contraction.
