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20 Dividend Stocks That Benefit From a Fed Rate Cut

stock :: 2024-09-18 :: source - barrons

By Ai Root



The Federal Reserve cut short-term interest rates on Wednesday by 0.5 percentage points and lowered longer-term projections for its federal-funds rate. It was the first rate cut since 2020 following 11 consecutive hikes.

All that should create a tailwind for dividend-paying stocks.

Which ones, however, is always the question. “Dividend payers in the financials sector” benefit, says Wolfe Research strategist Chris Senyek, including “banks.”

Short-term rate cuts can also help banks earn more money, lowering their cost of funding.

... continue reading 20 Dividend Stocks That Benefit From a Fed Rate Cut.