Gas, Grocers, and Grim Realities
All this shocking price inflation is going to make it an interesting climate to invest in, I think. By "interesting" I suppose I mean precarious. Today on Fool.com I mulled gas, grocers, and grim realities. I'm pretty sure most of us have noticed that things can get a little stressful in the checkout line these days. A few of the facts I ran across today: we're paying 17.9% more for butter, 23.7% more for tomatoes, 10% more for ice cream (I know, say it isn't so) than we were a year ago, so the sticker shock is very real. Add in the high price of gas and it's even more difficult for many average consumers these days.
These elements make it a bad time to invest in grocers, as far as I'm concerned, but some of you probably guessed that I still like Whole Foods, even in this climate; rationale is in the article. Maybe it's a bit of a contrarian call, but I actually think Whole Foods is safer than Wal-Mart right now. Its clientele are more resilient; Wal-Mart's core customers are struggling with these factors, big time.