Economic Overview - U.S. stocks have rebounded over the past month after a turbulent start to 2025, driven by concerns over tariffs and high inflation [1] - The recent market rebound has been volatile, influenced by ongoing uncertainties regarding tariffs and the Federal Reserve's rate cut plans [2] Tariff Impact - President Trump imposed significant tariffs in April, including a 145% duty on Chinese imports, which prompted China to retaliate with 125% tariffs on U.S. goods [3] - A recent trade truce between the U.S. and China has temporarily suspended tariffs for 90 days, but uncertainty remains regarding future trade agreements and their economic implications [4] Inflation and Federal Reserve - Inflation has shown signs of easing, with the Consumer Price Index (CPI) rising by only 0.2% in April, following a 0.1% decline in March [5] - The CPI increased by 2.3% year-over-year in April, marking the smallest annual gain since February 2021, indicating a gradual approach towards the Federal Reserve's 2% inflation target [6] Dividend-Paying Stocks - In light of economic uncertainty, investing in dividend-paying stocks is recommended as they tend to be more stable and reliable during market fluctuations [7] Company Highlights The Toronto-Dominion Bank (TD) - TD announced a dividend of $0.75 per share, with a dividend yield of 4.31% and a payout ratio of 53% of earnings [9] - The bank has increased its dividend 12 times over the past five years [9] Marriott International, Inc. (MAR) - Marriott declared a dividend of $0.67 per share, with a dividend yield of 1.04% and a payout ratio of 26% of earnings [12] - The company has increased its dividend five times in the last five years [12] Lennox International Inc. (LII) - Lennox announced a dividend of $1.30 per share, with a dividend yield of 0.81% and a payout ratio of 20% of earnings [14] - The company has increased its dividend five times over the past five years [14] Ralph Lauren Corporation (RL) - Ralph Lauren declared a dividend of $0.91 per share, with a dividend yield of 1.20% and a payout ratio of 27% of earnings [16] - The company has increased its dividend three times in the last five years [16]
Watch 4 Stocks That Recently Declared Dividends Amid Market Volatility