Dividends Versus Treasuries: Look At MSFT

Though we know that there is usually significant volatility around Fed rate hikes, as we’ve repeatedly stated, we wouldn’t mind an increase or two as we would prefer to see a healthier economy, while market history suggests that the years following Fed Liftoff have actually seen excellent absolute and relative returns on average for the kind of value-priced, dividend-paying stocks that we have long favored. And even if the yield on Treasuries moved up by 0.50%, the income offered by the 10-Year U.S. Treasury would merely equal what is available today on the S&P 500…