The dividend comeback
US dividend expectations for this year are now pricing in less than a 10% decline, versus expectations of -35% at the March trough, whilst Q2 payments (from the 75% of the S&P 500 that pay them) were better than feared and flat yoy. With earnings expectations now turning up, and many dividend "buffers" still in place, there could be further for expectations to rise. US high dividend yield equities have significantly lagged the broader market this year, despite this recent upturn in dividend expectations and the 40-year high spread versus bond yields.