3 Dividend Kings to Buy if the Fed Starts Raising Rates: KO, PG, WMT

Consumer staples stocks could become increasingly attractive if stubborn inflation pushes the Federal Reserve, under new Chairman Kevin Warsh, toward renewed monetary tightening. August's Consumer Price Index (CPI) rose 0.4% month over month and 3.4% annually, while core prices increased 0.3% monthly, coming in hotter than expected and strengthening the case for a potential Fed rate hike. Higher interest rates typically cool consumer spending and economic growth, which can favor defensive businesses that sell everyday necessities. In that environment, Coca-Cola (KO), Procter & Gamble PG), and Walmart WMT) stand out thanks to resilient demand, strong brands, and reliable dividends.