Stock Groups

2 Dow Jones Stocks to Buy in October, 2 to Avoid By StockNews

[ad_1]

© Reuters. 2 Dow Jones Stocks to Buy in October, 2 to Avoid

The has had a positive tailwind as the economy gradually reopens and companies grow earnings. They do have some challenges as coronavirus infections remain high and inflationary pressures continue. Given these factors, it could be worth betting on Dow stocks Johnson & Johnson (JNJ) and Cisco (CSCO) while NIKE (NKE) and The Boeing Company (NYSE:) are best avoided for now.The Dow Jones Industrial Average (DJIA) has performed solidly over the past few months, hitting an all-time high of 35,625.40 on August 16, 2021. The benchmark index, which is closely watched, has seen a 12.1% increase in year-to-date, as well as a 24.3% gain over the last year, thanks to the rapid reopening industrial activity and supportive fiscal and monetary policy.

However, along with the S&P 500 and the tech-heavy Nasdaq, DJIA tumbled yesterday as the consumer confidence slumped to a seven-month low, and Federal Reserve Chairman Jerome Powell expressed concerns over inflation. DJIA should continue experiencing volatility in the coming months, despite a number of mixed economic reports.

Given this backdrop, it could be wise to scoop up the shares of Dow Jones components Johnson & Johnson (JNJ) and Cisco Systems, Inc. (NASDAQ:) because of their above-average dividend yields and favorable valuations. Avoid NIKE, Inc., (NKE), and The Boeing Company, (BA) because they are likely to face supply chain challenges.

Continue reading on StockNews

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. CFDs are stocks, indexes or futures. The prices of Forex and CFDs are not supplied by exchanges. Instead, they are determined by marketmakers. As such, the prices might not reflect market conditions and could be incorrect. Fusion Media is not responsible for trading losses that may be incurred as a consequence of the use of this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Trading the financial markets is one of most risky investment options. Please make sure you are fully aware about the costs and risks involved.



[ad_2]