The stock market has been reeling under immense volatility due to concerns over surging inflation, the Federal Reserve’s policy tightening, deepening supply chain disruptions, and a resurgence of COVID-19 cases. Moreover, the U.S. economy witnessed a slowdown in the first quarter.
As these factors are not expected to ease anytime soon, investors could consider betting on safe dividend-paying stocks to generate a steady income stream. Investors’ interest in dividend stocks is evident from the SPDR S&P Dividend ETF’s (SDY) 2% returns over the past three months versus SPDR S&P 500 Trust ETF’s (SPY) 6.6% loss.
