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15 handpicked stocks

Consumer Staples (Defensive Stocks) During Shutdown

Plummeting consumer sentiment, fueled by a government shutdown, signals a potential pullback in household spending. This theme focuses on consumer staples and other defensive companies that provide essential goods and services, which tend to remain in demand during times of economic uncertainty.

Author avatar

Han Tan | Market Analyst

Published on November 8

Your Basket's Financial Footprint

Market capitalisation breakdown for the 'Shutdown Slump: Investing In Consumer Essentials' basket.

Key Takeaways for Investors:
  • Large-cap dominance generally implies lower volatility and more stable, broad-market-like performance.
  • Treat this basket as a core holding for diversification, not as a speculative growth play.
  • Likely to deliver steady, long-term value rather than rapid short-term gains.
Total Market Cap
  • PEP: $195.46B

  • PG: $343.45B

  • GIS: $25.01B

  • Other

About This Group of Stocks

1

Our Expert Thinking

When consumer sentiment plummets due to government shutdowns and economic uncertainty, households typically shift their spending priorities. This group focuses on companies that provide essential goods and services - the items people continue buying regardless of economic conditions. These defensive positions could offer stability when discretionary spending declines.

2

What You Need to Know

This collection includes consumer staples companies and ETFs that specialise in everyday necessities like food, beverages, household products, and personal care items. These businesses typically experience consistent demand during economic downturns, as consumers prioritise essential purchases over luxury items. The group offers a defensive approach to uncertain economic times.

3

Why These Stocks

Each company was handpicked by professional analysts for its resilience during economic uncertainty. From established brands like Procter & Gamble to diversified ETFs covering the entire consumer staples sector, these selections represent businesses that historically maintain stable demand when consumer confidence falls and spending tightens.

Why You'll Want to Watch These Stocks

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Recession-Proof Essentials

These companies provide the everyday necessities people can't live without, making them naturally defensive when economic uncertainty strikes. Even during tough times, consumers still need food, household products, and personal care items.

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Steady Income Potential

Many of these consumer staples companies have long histories of paying consistent dividends, offering potential income even when markets are volatile. Their stable cash flows from essential products support reliable shareholder returns.

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Smart Money's Safe Haven

Professional investors often rotate into consumer staples during uncertain times, recognising their defensive qualities. When consumer sentiment plummets like it has recently, these stocks could benefit from institutional interest seeking stability.

Get the full story on this Basket. Read our detailed article on its risks and potential.

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