• February 8, 2023

How The Fair Tax Act Of 2023 Might Work

The Readers Digest version of the Fair Tax Act of 2023 is that it replaces the income tax, payroll taxes that fund Social Security and Medicare and transfer (estate and gift) …

The Rise Of Spatial Thinking: The New Frontier For Insight-Driven Business

In our data-rich world, here’s the most fascinating aspect of spatial analysis: The more complex the problem, the more multi-layered it is, the more powerful spatial analysis is. Understanding and managing …

Pentagon Warns China Has More Nuclear Missile Launchers Than U.S. But There’s One Big Catch

The Pentagon has warned lawmakers on Capitol Hill that China now has more ground-based facilities capable of launching nuclear missiles than the U.S., according to a new report from the Wall …

Equity markets took it on the chin following disappointing reports on inflation last week that came in much hotter than expected and dashing expectations that the data would show inflation moderating. Consumer prices in June rose 9.1% year-over-year and producer prices surged into the double digits at 11.3%, just below the 11.6% rate in March. By the close on Friday, however, positive earnings reports from big banks like Citigroup
C

C
helped stocks trade well above their lows for the week.

The two worst places to be last week were in the energy sector and emerging markets. Energy fell more than 3% as crude oil tumbled another 6.9% to close out the week at $97.59 per barrel, down from more than $120, just one month ago. Emerging markets are very sensitive to inflation and higher U.S. interest rates, and the EEM
EEM

EEM
was lower by 3.6% on the week. Consumer staples was the only sector not to decline.

Equity Income Universe: As they have throughout 2022, dividend-paying stocks performed better than the overall market. Most of the funds we track were down less than 1%, but international dividend payers were laggards: PowerShares International Dividend Achievers (PID -1.9%), SPDR S&P Global Dividend (WDIV
WDIV
-2%), and Vanguard International Dividend Appreciation (VIG
VIG

VIGI
I -1.4%).

The VanEck BDC Income (BIZD
BIZD
-1.4%) reversed course after shining last week as the best performing equity-income fund, while the Alerian MLP (AMLP
AMLP

AMLP
-0.03%) ETF fared better than oil, basically breaking even for the week.

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FDI Portfolio Action: It was a rough week for basic materials stocks, and that was the case for Kronos Worldwide
KRO
and Ternium, but the 23 stocks in last week’s Forbes Dividend Investor portfolio on average kept declines in check, falling 0.53%. This keeps the FDI portfolio at #3 for year-to-date total return among the dividend ETFs and mutual funds that we track each week.

Delivering the best weekly performance again was Qualcomm

QCOM


QCOM
(QCOM +6.2%), which built on last week’s 10% gain. Baby clothes company Carter’s (CRI +4.6%) also remained strong, along with packaging and container maker Greif (GEF.B +3.7%).

Click here for instant access to the complete Forbes Dividend Investor portfolio, including Friday’s most recent buy, a company that makes everything from highway paint to Post-It Notes.

John Dobosz is editor of Forbes Dividend Investor, which provides a weekly portfolio of high-yielding, value-priced income stocks, REITs and MLPs, and Forbes Premium Income Report, which sends out options-selling trade recommendations on two dividend-paying stocks every Tuesday and Thursday.

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