Since the stock market is expected to experience significant volatility on concerns over supply chain disruptions, rising inflation, and the continued spread of COVID-19, high-yield stocks Vector Group (NYSE:VGR), Westlake Chemical (NYSE:WLK) (WLKP), and One Liberty Properties (NYSE:OLP) could be ideal bets now. In addition to being good bets to ensure a steady income stream and to hedge against market risks, we think these stocks have the potential to deliver solid returns in the long run. So, let’s discuss.Stock futures slipped today on disappointing earnings reports from major technology companies. The U.S.’ weekly jobless claims fell more than expected last week to 281,000. However, the U.S economic growth rate has slowed to 2% due to decelerating consumer spending and residential investments.
Also, the market may experience heightened volatility due to the supply chain bottlenecks, rising inflation, and the continuing spread of COVID-19. Therefore, since dividend-paying stocks can reduce overall portfolio risk and volatility, they could be ideal bets now. Investors’ interest in dividend stocks is evident in the SPDR S&P Dividend ETF’s (SDY) 16.6% returns year-to-date.
Given this backdrop, we think it could be wise to bet on high-yield dividend stocks Vector Group Ltd . (VGR), Westlake Chemical Partners LP (WLKP), and One Liberty Properties, Inc. (OLP). These stocks are rated as Strong Buy in our proprietary POWR Ratings system.