3 Dow Stocks to Buy More of in May
As we deal with astonishing market volatility, it might be clear to newer investors why blue-chip stocks should make up some portion of your investments. Those flying high on growth stocks might already be feeling pain as the sector has been beaten down for several months.
If you have a long-term outlook and bought growth stocks because you believe in a company's fundamentals, short-term losses shouldn't bother you too much. At the same time, dips, corrections, and crashes allow anyone to see why stable, established stocks offer a balance to high growth. That's where the Dow comes in.
The Dow, or Dow Jones Industrial Average (DJINDICES: ^DJI), is an index of 30 large U.S. public companies. These are solid blue-chips representing a cross section of the U.S. economy. With only 30 companies, it's not quite representative of the economy as a whole, and the S&P 500 is a better indicator of the broader market.
Source Fool.com
