3 Ultra-Safe Dividend Stocks to Buy Now, If You're Concerned About Volatility Ahead
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3 Ultra-Safe Dividend Stocks to Buy Now, If You're Concerned About Volatility Ahead
"Investors who find themselves awake at night thinking about their portfolios, fear not. I am too. The reality is that there are many red flags that have popped up in recent years that have now become too hard to ignore. Yes, inflation has come down from its 2022 peak, but it remains markedly above the Federal Reserves (notably arbitrary) 2% target. But it's still elevated, at the same time that the jobs market has markedly weakened."
"Any stock Warren Buffett has held for decades is one I'd think is about as stable as they come. As it turns out, Coca-Cola ( NYSE:KO) remains a staple of his portfolio, with the Oracle of Omaha originally purchasing his position way back in 1988. That's a long time to hold a given stock, but that's Warren Buffett's investing style (and it's one I'd certainly like to emulate)."
Inflation has declined from its 2022 peak but remains significantly above the Federal Reserve's 2% target, while the jobs market has weakened. The combination of elevated inflation and a softer labor market has created uncertainty about the future path of interest rates and produced volatility in the bond market. The medium-term expectation is that interest rates will more likely be lower than higher. Coca-Cola has been held by Warren Buffett since 1988 and is positioned as a stable dividend payer. The company currently yields about 3.1% annually, with that yield rising after a recent stock price dip, and its strong brand supports long-term investor interest in buying the dip.
Read at 24/7 Wall St.
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