Investors fleeing technology stocks in October have moved into consumer-staples names such as Costco, Walmart and Colgate-Palmolive, lifting the sector nearly 9% this month versus less than 1% for the S&P 500 and a 3.8% drop in technology. Staples now trade at a forward P/E of 23.8, above tech's 19.8, reversing a long-standing pattern, though Nationwide's Mark Hackett said the rally has made the sector less cheap in aggregate, not universally overvalued. Walmart and Costco trade at roughly 42 and 48 times forward earnings, despite projected earnings growth well below tech's. The article suggests Treasurys have been crowded out by heavy corporate and government debt issuance, and cites a roughly 50% drop in silver from its record high as a sign of mounting slowdown concerns. Over the past four recessions, staples gained an average 2.2% in the first six months and nearly 6% after one year, according to Dow Jones data, while SentimenTrader analysts see a bullish case over the next few months even though a near-term pullback is possible.
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QQQ
• NeutralInvesco QQQ Trust
Relevance: low
| Market | US stocks |
|---|---|
| Sector | ETF |
| Close on 10/19/2026 | 718.36 |
| Change that session | +1.21% |
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