4 Discretionary Stocks to Buy on Rising Hopes of a December Rate Cut

Economic Overview - Signs of economic stability have improved investor sentiment, leading to a stock market rebound over the last two sessions [1] - Positive economic data has raised hopes for a Federal Reserve rate cut in December, despite previous concerns about high inflation and a shrinking labor market [4][6] Consumer Stocks Investment - Recommended consumer stocks for investment during the holiday season include Carnival Corporation & plc (CCL), fuboTV Inc. (FUBO), Ralph Lauren Corporation (RL), and Roku, Inc. (ROKU) [2] - These stocks have experienced positive earnings estimate revisions in the past 60 days and carry a Zacks Rank 2 (Buy), indicating potential for solid returns [3][11] Individual Stock Analysis - Carnival Corporation & plc (CCL): Expected earnings growth rate for the current year is 52.8%, with a 1.4% improvement in earnings estimates over the last 60 days [10] - fuboTV Inc. (FUBO): Expected earnings growth rate exceeds 100%, with earnings estimates improving by more than 100% in the past 60 days [12] - Ralph Lauren Corporation (RL): Expected earnings growth rate is 25%, with a 3% improvement in earnings estimates over the last 60 days [13] - Roku, Inc. (ROKU): Expected earnings growth rate exceeds 100%, with an 83.3% improvement in earnings estimates over the last 60 days [14] Market Sentiment and Rate Cut Expectations - Investors are optimistic about a potential Federal Reserve rate cut in December, with an 89.2% chance of a quarter percentage point cut being priced in by the markets [7] - Recent economic reports, including a decline in private payrolls, have fueled expectations for further easing by the Federal Reserve [5][11]