Amidst the stock market’s continued downside volatility, utilities have emerged as the safe haven -- moving higher last week as the broader market felt intense selling pressure. On a 52-week intra-day high basis, six of the 11 S&P 500 sectors were mostly in a correction mode from their most recent highs -- but not Utilities.
Larger-than-average dividend yields and steady revenue streams are arguably what helped Utilities gain investor favor in times of tumult. With investors worried about slowing global economic growth, trade woes with China, and a flattening yield curve, the relative safety of Utilities has gained more attention.
A few stocks investors might consider if looking for Utilities plays are Entergy Corporation (ETR, +1.33%), Edison International (EIX, +1.28%) and Exelon Corporation (EXC, +1.01%).