BMO Capital Markets says dividend stocks are key to riding out bumps in the market and keeping your money safe. They’ve found that companies that regularly pay dividends tend to do better when markets are unpredictable, which is super helpful right now.
This focus on playing it safe comes at a tricky time for investors. President Donald Trump is back in the White House, which has triggered some early positive movements in the stock market. At the same time, though, Wall Street is nervously anticipating the impacts of his proposed trade policies. On top of that, the Federal Reserve is now expected to cut interest rates less than forecast, keeping the Federal funds rate between 4.25% and 4.50%.
