Manufacturing and\nServices Rebound Around the World \u2013 <\/strong>A survey of manufacturing and services\nPMIs across the globe shows a similar pattern: a very steep decline in March\nand April activity, followed by a \u201cv-shaped\u201d bounce in May. This resurgence of\nactivity took place across the U.S., Europe, and Asia, as the global economy\nslowly but surely pushes forward following pandemic-induced lockdowns. The U.S.\ncomposite index (produced by IHS Markit) rebounded to its highest level in four\nmonths, though to be fair still remains in contractionary territory (readings\nlower than 50). The United Kingdom and France saw rebounds in manufacturing, though\ndemand remains weak. Japan\u2019s services sector is showing bright spots, while its\nmanufacturing rebound is lagging.1<\/sup> Taken together, the manufacturing\nand services picture is mixed, but signs of life are returning, and it\u2019s safe\nto say the worst of the economic crisis is now in the rear-view mirror \u2013 at\nleast for now.<\/p>\n\n\n\n _________________________________________________________________________<\/p>\n\n\n\n Dividend-paying Stocks May Offer a Solution<\/a><\/strong> <\/a>During this Pandemic<\/a> _________________________________________________________________________<\/p>\n\n\n\n Savings\nRates Shot Higher \u2013 <\/strong>Americans shifted spending to essential\ngoods and e-commerce during the height of the pandemic, but they also saved\nmore. In a surprising data quirk released this week, the savings rate in\nAmerica shot higher last month, as households stayed home (and therefore\nreduced spending) and as government stimulus actually resulted in pay increases<\/em> for many. As the economy\nreopens, many consumers will be out shopping again, and it should also be noted\nthat the $600 unemployment boost ends on July 31.3<\/sup> As such, the pop\nin the savings rate is likely to be short-lived, but hopefully, the experience\nencourages more households and save and invest for the long-term. <\/p>\n\n\n\n Commodities Prices\nFirm Up, Indicating Demand Returning \u2013 <\/strong>Looking at global demand for\ncommodities is a quick way to gauge current and future economic activity,\nparticularly in the realm of global manufacturing. A good sign that demand is\nreturning can be seen in the prices for raw materials, like oil, copper, and\ntin \u2013 all of which have seen strong rebounds over the last couple of weeks.5<\/sup>\nTo be fair, producers have also cut supply in response to the full-stop to\nglobal economic growth, but rising prices now appear to be spurred by increasing\nfactory activity and the resumption of global trade. <\/p>\n\n\n\n While we have seen parts of the economy start to recover, we are not out of the woods yet. You may be wondering what can you do in the meantime to protect your retirement. You have to invest somewhere, as cash won\u2019t do. In times like this, I would suggest considering stocks that are growing earnings and dividends and have a track record of doing so. Increased manufacturing, commodities demand signal recovery, Americans save more during lockdown <\/p>\n","protected":false},"author":3,"featured_media":7426,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[71,73],"tags":[],"class_list":["post-8715","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-private-client-group","category-steady-investors-week"],"acf":[],"_links":{"self":[{"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/posts\/8715","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/comments?post=8715"}],"version-history":[{"count":1,"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/posts\/8715\/revisions"}],"predecessor-version":[{"id":10584,"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/posts\/8715\/revisions\/10584"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/zacksim.com\/blog\/wp-json\/"}],"wp:attachment":[{"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/media?parent=8715"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/categories?post=8715"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/tags?post=8715"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
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The challenge many retirement investors are facing through this crisis is knowing where to invest. Cash won\u2019t do. But a portfolio invested in stocks with a strong track record of dividends and dividend growth may give investors the potential for a stable and predictable source of income in retirement.
To learn more about how to use dividend-paying stocks in your strategy to potentially generate cash flow for retirement, check out our guide \u201cA Look Beyond Bonds: There May Be a Better Option for Your Retirement Income.\u201d<\/em>
If you have $500,000 or more to invest, click on the link below to get our free guide today!
A Look Beyond Bonds: There May Be a Better Option for Your Retirement Income<\/a>2<\/a><\/sup><\/strong><\/p>\n\n\n\n![\"\"](\"https:\/\/zacksim.com\/blog\/wp-content\/uploads\/2022\/02\/1_image-1-of-1-1-1024x395.png\")
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To learn more about how to use dividend-paying stocks in your strategy to potentially generate cash flow for retirement, check out our guide \u201cA Look Beyond Bonds: There May Be a Better Option for Your Retirement Income.\u201d6<\/sup>
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If you have $500,000 or more to invest, click on the link below to get our free guide today!<\/p>\n","protected":false},"excerpt":{"rendered":"