History Says Stocks Typically Fall After a Fed Hike Cycle Begins -- Then Gain 6.8% Within a Year. Here's My Plan.
Motley Fool·
- Historical data shows the S&P 500 typically declines after the Federal Reserve initiates a rate hike cycle, but it records a median gain of 6.8% within 12 months.
- The author plans to capitalize on potential near-term market weakness by building cash reserves and preparing a watch list of target stocks.
- Key targets include Berkshire Hathaway, backed by over $365 billion in cash, and Coca-Cola, valued for its durable financial results and consistent dividend growth.
