Late in the second quarter, the financial markets were hammered by Bernanke’s remark that the Fed could taper its quantitative easing policy before year’s end. Treasury yields soared in the weeks following his statement, leading to a meltdown in just about any financial asset with a yield above 2.5%. But that situation has now been turned on its head, with substantial relief rallies in the various high-yield plays that were so popular through 2012 and the first three months of this year.
Short-term performance of the yield plays remain dependent on Fed statements and/or the outlook for quantitative easing. This also means high-yielding assets are vulnerable not just to additional Fed-speak, but also positive shifts in incoming economic data. While high-yield assets have enjoyed a strong run in recent weeks, they remain on very unsteady ground. At this stage, yield-hungry investors can afford to be patient rather than attempting to milk additional returns from this rally.
Source: Investor Place
Related Articles:
- 5 Dividend Stocks To Buy And Hold, Not Buy And Forget
- Asset Allocation For Income Investors
- 8 Stocks With Strong Dividend Growth Metrics
- 10 Dividend Stocks Balancing Yield And Growth
- Defense Stocks May Not Be Defensive Stocks
Starved for High Yield? Wait a Little Longer
Posted by D4L | Wednesday, August 07, 2013 | ArticleLinks | 0 comments »________________________________________________________________
Subscribe to:
Post Comments (Atom)
Dividend Growth Stocks News
~
Popular Posts Last 30 Days
-
If you're worried about inflation rearing its ugly head next year, you should probably worry about more likely catastrophes, such as bei...
-
As a relatively new blogger, the one thing that has stood out in my mind is the number of Canadian bloggers in the areas that I am most inte...
-
We screened our 24/7 Wall St. dividend equity research database and found 5 stocks that combined can generate over $3,000 of annual passive ...
-
The stock market has been on an upward path of late, with some of the most prominent stocks hitting astronomical highs. The dividend yield o...
-
Dividend growth stocks can be incredibly attractive investments if you crave recurring income. As these types of stocks raise their dividend...
-
The most dependable dividend stocks typically have a long track record of sustaining payouts through different market cycles. Companies with...
-
Dividends can be a tremendously powerful part of your investing strategy. Not only can they give you a continuing source of cash to reinvest...
-
In my opinion, there are three criteria investors should consider when evaluating a particular stock for their portfolio. The first is histo...
-
In this article, we discuss 5 best March dividend stocks to buy. If you want to read our detailed analysis of dividend capture strategy and ...
-
As the broader stock rally broadens to some of the more “boring” corners of the market, it’s the higher-yielding dividend plays that could s...
0 comments
Post a Comment
Post a Comment
Note: Only a member of this blog may post a comment.