Ready to buy back into this market? If so, forget about Apple and grab these stocks instead, strategist says – MarketWatch

‘The market is utterly underestimating how much of a shock the coronavirus is going to be to the economy. And I think for the next 12 months, the U.S. consumer is only going to spend his money or her money on [nondiscretionary] goods. So, within that basket, I think you have to let Apple go.’

That is Boris Schlossberg of BK Asset Management, explaining to CNBC why Apple

has no place in an investor’s portfolio amid the coronavirus pandemic.

“Anything that is discretionary I think will be absolutely not spent a penny on for at least a year,” Schlossberg said.

Instead, he said investors should take a look at adding companies poised to benefit in the coming months, such as Procter & Gamble

nd Johnson & Johnson

Why P&G? Well, Jefferies just upgraded the Charmin-maker, hailing the company as “among the best in staples to weather near-term macro headwinds.”

And as for Johnson & Johnson, the company aims to start a Phase 1 trial by the end of 2020, “compared to the typical five to seven years it takes for this milestone in vaccine development,” Paul Stoffels, J&J’s chief scientific officer, said earlier this month.

Read:These 16 companies are working on coronavirus treatments or vaccines

Schlossberg also said he’d pick PepsiCo

over Disney

and, perhaps more obviously, over Royal Caribbean
for the same reasons.

Watch the full interview:

Apple shares followed the broader market nicely higher on Monday, up more than 2% at last check while the Dow Jones Industrial Average
S&P 500

and tech-heavy Nasdaq Composite

all gained ground.

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