History has proved that certain sectors tend to flourish even during an economic downturn. However, during the much-anticipated stock market recession triggered by the novel coronavirus pandemic, we have come across some surprisingly recess-proof sectors in the economy that promise to stabilize and boost the economy to the extent possible. Here are some of the sectors that are thriving despite the lockdown and coronavirus low-key economy.

· Staples & Bulk Retail

· Technology

Consumer Durables Doing Well According to Adam Veron

Consumer staples companies like Procter & Gamble Co, are thriving as compared. To other kinds of stocks simply because they manufacture the products that people require to remain clean and well-fed.

Adam Veron also, points out that all the discount store chains like DG (Dollar General Corp.) are thriving because people are not interested in splurging on exotic and expensive stuff during the difficult COVID-19 pandemic when the going is pretty tough due to the lockdown. 

Even club stores such as BJ’s Wholesale Club and Costco Wholesale Corp. seem to be doing pretty well since they offer the magical mix of combination and value for consumers.

History has shown that the survivors during an economic recession generally tend. To be organizations that provide robust value for consumers either via high-quality trusted brands or lower prices. We know that several nonessential sectors like clothing retailers would be remaining closed during the COVID-19 pandemic to avoid the spread of the deadly virus; however, companies having a robust e-commerce presence would be outperforming their peers since numerous consumers would be ordering online from the privacy and safety of their homes.

Information Technology Is Thriving Says Adam Veron

With stocks that seem to be dependent on the business cycle’s us and downs. Technology organizations often experience bad times during difficult economic situations. That dynamic could prove to be different during the COVID-19 recession. It could be great for good investments despite the lockdown phase related to the coronavirus. Even after the pandemic seems to have passed, and as businesses. And people are shifting their focus on remote working and video conferencing. We see that these stocks are still remaining robust and really solid holds.

As a result of the current stock market sell-off, many of these organizations that might have been exorbitant could now be got for relative bargains. Crossmark has been successfully adding more to its holdings of Microsoft Corp, Apple, and Amazon. It has made another new investment in ServiceNow, a cloud computing firm. 

Microsoft is placed pretty well with the collaboration platform and communication of its teams as the COVID-19 lockdowns are assisting people in realizing that they do not require having so many in-person meetings.

Zoom Video Communications seems to be very much in a more or less similar position even though its stock seems to be expensive. Despite the recent privacy and security issues. The organization would still be going strong since the remote work trend. Would be continuing in the years to come.

While rounding off the tech firms’ list that is still thriving despite coronavirus pandemic, we simply cannot forget or undermine entertainment, online-streaming, and video game stocks. They are sure to thrive because of the natural boost in their demand because people are bored holed up at home and following social distancing guidelines, stay-at-home orders, and business shutdowns. Netflix, for instance, has gone up by over 20% from mid-March. 

Telecommunications & Utilities Are Going Great Guns Insists Adam Veron

The demand for electricity for powering businesses and homes implies utilities are still enjoying stable demand. Utilities could prove to be solid investments since they are offering reliable dividend payments for all those investors who are looking for yield. Crossmark has bought shares of VST, Vistra Energy Corp expecting the increase in energy. Demand during the summer months.NextEra Energy seems. To be a large holding that was yielding until recently 2.3 percent annually. 

Conclusion

We know that the COVID-19 pandemic has resulted in stalling economic activity. And is threatening to push us into another recession. Even though most sectors are being badly hit and are adversely impacted. By the pandemic, the above sectors are still doing good and contributing to economic stability in these dire times.