Uncertainties surrounding the continuing Ukraine-Russia war, multi-decade-high inflation, and supply chain disruptions since the beginning of the year have led to bearish investor sentiment, resulting in massive sell-offs. Also, last month has been extremely brutal for the major stock market indexes, with S&P 500 and Dow Jones declining 8.8% and 4.9%, respectively, posting the worst April since 1970.
Moreover, the Federal Reserve's May monetary policy meeting to raise interest rates is expected to trigger market volatility further. As the market will likely remain under pressure in the near term, investing in large-cap stocks could help dodge the short-term fluctuations. Their broader market reach and pricing power help them generate steady returns irrespective of the market movement.
