From Yahoo Finance: 2025-04-20 09:20:00

The US stock market faced turbulence in Q1 2025, with high volatility and negative returns. Tech stocks, economic data, and trade tensions caused uncertainty. China’s DeepSeek AI software challenged US rivals, causing global investor sell-offs and US tech companies to lose billions. The US imposed tariffs to counter the impact.

US interest rates added to market volatility, with the Federal Reserve maintaining rates between 4.25% and 4.50%. Fed Chairman Powell emphasized waiting for clarity before policy adjustments. The US economy entered “continuous stagflation”, with the Cboe Volatility Index (VIX) at 32.64%, indicating higher price fluctuations.

Amid market uncertainty, low-risk stocks are outperforming the broader market. Low-volatility stocks have become a top-performing investment theme in 2025. Hedge fund manager Joe Gilbert recommends these stocks as a safe haven for investors amid ongoing market volatility, with 13 themes tracked by Bloomberg Intelligence.

Exxon Mobil Corporation (XOM) is among the best low volatility stocks to buy now. With a 5-year monthly beta of 0.58 and 104 hedge fund holders, XOM operates globally in energy and chemical sectors. Despite challenges in commodities and global trade tensions, XOM maintains strong financial performance and strategic growth plans.

XOM ranks 6th on the list of best low volatility stocks. While promising, AI stocks are seen as holding greater potential for higher returns in a shorter timeframe. An AI stock has shown growth in 2025, in contrast to popular AI stocks. For investors seeking promising AI stocks at a discount, a report on the cheapest AI stock provides insights.

Read more: Is Exxon Mobil Corporation (XOM) the Best Low Volatility Stock to Buy Now?