From Morningstar: 2025-05-20 03:56:00

The Morningstar UK Index has returned around 8% in sterling terms this year, outperforming amidst stock market volatility. UK dividend-paying stocks are highlighted, with UK inflation forecasted to hit 3% in April. Alan Dobbie of Rathbone Income Fund favors National Grid due to significant investment plans and dividend growth potential.

NatWest, favored by JP Morgan’s Katen Patel, boasts a dividend yield above market average and potential for significant growth. After years of no payouts, NatWest’s dividend has increased steadily. The UK bank is set to return to full private ownership after 16 years of UK state control.

Dunelm, a British house furnishing retailer, is expected to grow market share and dividends. Conservative financial management and low debt levels have allowed Dunelm to pay attractive dividends. The company’s dividend has grown on average 8% a year for the past 20 years, currently yielding 3.73%. 1. The stock market experienced a sharp decline today, with the S&P 500 falling by 2.5% and the Dow Jones Industrial Average dropping by 600 points. Investors are concerned about rising inflation and interest rates, leading to a sell-off in tech and growth stocks.

2. A new study published in a leading medical journal found that the Pfizer-BioNTech COVID-19 vaccine is highly effective in preventing severe illness and death caused by the Delta variant. The study analyzed data from over 100,000 individuals who received the vaccine.

3. The United Nations reported that global carbon dioxide emissions reached a record high in 2021, despite promises by countries to reduce their carbon footprint. The increase in emissions is largely due to the rebound in economic activity following the COVID-19 pandemic.

4. Tesla announced plans to build a new $1 billion Gigafactory in Texas, which will produce batteries for electric vehicles. The factory is expected to create thousands of jobs and help meet the growing demand for electric cars in the United States.

5. The Federal Reserve announced that it will begin tapering its bond-buying program in November, signaling the start of a gradual tightening of monetary policy. The move is aimed at combating inflation and bringing the economy back to pre-pandemic levels.



Read more at Morningstar: 3 UK Dividend Stocks With Above-Inflation Yields