This week brought positive macro news. The Consumer Price Index for July showed an annual inflation rate of 2.9%, the lowest since March 2021.
Prologis (NASDAQ: PLD)
Prologis, a logistics real estate company, has reduced negative year-to-date returns by 9% and has gained nearly 14% in the last three months. With 115 million square meters of space, Prologis is vital for retail, providing warehouses, distribution centers, and online fulfillment centers, as well as B2B models.
Wayfair (NASDAQ: W)
Wayfair uses a drop-shipping model, generating revenue from sales of goods without holding the products. The company works with over 11,000 suppliers and focuses on home decor and furniture. With declining interest rates and inflation, the company expects renewed growth.
Block (NASDAQ: SQ)
Fintech company Block, formerly known as Square, expects to onboard more merchants due to improved financial conditions. With its Cash App service and a comprehensive business solution that includes payment processing and e-commerce management, the company may benefit from lower interest rates.
Therefore, the expected rate cut by the Federal Reserve in September could create favorable conditions for the growth of companies such as Prologis, Wayfair, and Block.
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