Although the markets wobbled a bit in anticipation of the Federal Reserve’s rate decision, the Dow Jones Industrial Average still managed to squeak out a 400+ point gain since our last issue.
The Fed stuck to its guns, citing economic weakness overseas and shaky financial markets that “continue to pose risks,” as its reason for holding rates steady. And the markets responded appropriately.
Economically-speaking, we’re still slow but steady. The unemployment rate crept back up to 5.0%, but initial claims continued to decline. And both consumer credit and mortgage lending saw increased activity.
Investor and advisor sentiment have turned more bullish in the past month, albeit on the cautious side, as you’ll see in our Market Views section.
This month, our contributors offer a very broad selection of investing ideas for you. Our Spotlight Stock operates in the ‘alternative energy’ arena, manufacturing wood pellets that compete with—or augment—coal-burning fuel appliances. It’s making a big name for itself in international markets and pays a very handsome dividend. Just one caveat—the shares do not trade in huge volume, so don’t chase the stock.
The company first issued shares to the public about a year ago, during a very soft year for IPOs. My Feature explores the new issue arena, examining 2016’s IPO marketplace and some of the sectors that look to be the most active.
Moving on, your Higher Yield selections this month include a pipeline company, two preferred share options in financials, and a bond.
Value stocks are coming back with a vengeance, so far posting some of the best returns of 2016. And we offer four transportation companies and a technology stock for your review. In Growth & Income, you’ll find a wide variety of choices, including pharma, restaurant, technology, hospitality, industrial and utility businesses.
Corporate America is finally putting some of its money to use by raising dividend payouts, and we have three of the latest initiatives to share with you. In our REITs section, you’ll see one familiar name, and one that may be new to you as an investor but is gaining ‘ground’ in the farming sector.
Lastly, we offer an interesting selection in our Funds, ETFs and Closed-End Funds section, including preferred stocks, REITs, Treasuries, technology and high-income ideas.
