Published on 7 Nov 2023 on Zacks via Yahoo Finance

5 Stocks to Watch on Their Recent Dividend Hike

U.S. stock markets have witnessed an impressive rally in the first seven months of this year after a highly disappointing 2022. After that volatility returned on Wall Street, which ended in negative territory in the last three successive months.

Fed Chairman Jerome Powell’s warning of further hike in the benchmark interest rate resulted in a massive spike in U.S. government yields. More importantly, the central bank said it would keep interest rates higher for a longer time. The new projection has shown two rate cuts in 2024 instead of the four projected in June. The first cut in interest rate is not expected before September 2024.

Market participants were once again concerned about a near-term recession. However, last week was the best one for U.S. stock markets as investors remained highly optimistic that the Fed may not hike interest rate further. A series of weak economic data, especially a tepid nonfarm payroll for October, boosted investors’ confidence.