Consumer Goods Sector

What is the 'Consumer Goods Sector'

The consumer goods sector is a category of stocks and companies that relate to items purchased by individuals rather than by manufacturers and industries. This sector includes companies involved with food production, packaged goods, clothing, beverages, automobiles and electronics.

BREAKING DOWN 'Consumer Goods Sector'

Performance in the consumer goods sector depends heavily on consumer behavior. When the economy grows the sector will see an increased demand for higher-end products. When the economy shrinks there is an increased demand for value products. While some product types, such as food, are necessary, others, such as automobiles, are considered luxury items.

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RELATED FAQS
  1. What is the historic average annual return of the food and beverage sector?

    Examine the current state of the food and beverage sector, along with learning the historical average annual returns for ... Read Answer >>
  2. Which economic factors most affect the demand for consumer goods?

    Understand how key economic factors such as inflation, unemployment, interest rates and consumer confidence affect the level ... Read Answer >>
  3. What are the primary risks an investor should consider when investing in the food ...

    Understand some of the various risk factors investors should consider when seeking investment opportunities in the food and ... Read Answer >>
  4. What economic indicators are important to monitor when investing in the electronics ...

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  5. What are some of the most common mutual funds that give exposure to the food and ...

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  6. How can I hedge my portfolio to protect from a decline in the food and beverage sector?

    Learn why countercyclical investments, such as precious metals, serve as the best hedge against exposure to the food and ... Read Answer >>
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