Highlights
Procter & Gamble (PG) – up 4%
Blackstone Group L.P. (BX) – up 2%
Sherwin Williams (SHW) – up 2%
Public Storage (PSA) – up 2%
Target (TGT) – up 1.5%

Lowlights
Icahn Enterprises L.P. (IEP) – down 6%
Foot Locker (FL) – down 5%
Toyota Motor Corp (TM) – down 3%
Harley-Davidson (HOG) – down 3%
Hewlett Packard (HPQ) – down 3%

Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.

Big news from Procter & Gamble (PG) sent its shares higher in today’s trading. The consumer goods maker announced that it is bringing back its former CEO, A.G. Lafley, to run the company, pleasing many investors.

Another company that also saw its shares rise higher this morning was Ross Stores (ROST), after it reported better-than-expected earnings. However, poor earnings reports from Abercrombie & Fitch (ANF), Foot Locker (FL), Williams-Sonoma (WSM), and The Gap (GPS) sent their shares lower.

A Perspective on Pullbacks?

The past couple of days have resulted in the indices closing in negative territory. The big concern regarding the end of easy money in the U.S. sparked a mini sell-off that has been so rare over the past six to seven months. Traders and short-term investors have been alarmed by this situation. Depending on the experience of a trader, some may not be prepared for any selling that could sustain beyond the 24-hour window, as has been the case for a while now.

For long-term investors who are not concerned with the day-to-day fluctuations of the markets, these pullbacks shouldn’t be seen as a bad or scary thing. Our readers, most of whom are investors with a long-term focus, should be willing to embrace a bit of a rest period for the markets. Of course sell-offs do scare the average investor, but lower prices do provide for better entry points. You do not want to miss out on these appealing openings to add capital to income-producing assets which do assist in building wealth over time.

Looking Toward Next Week

Looking ahead to the next week for stocks, first quarter earnings releases continue to trickle in from a number of companies, including Tiffany’s (TIF), Costco (COST), and Bank of Nova Scotia (BNS).

Have a great Memorial Day Weekend everyone!

Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.

Now, it is unclear whether or not the Fed will actually ease the reigns off its quantitative easing anytime soon. Unemployment is still hovering around 7.5% and inflation is below the 2.0% target. But the market psychology of investors, fearing the end of QE, triggered a a couple of days of decline in the US markets and big volatility around the globe. This was especially true in Japan, as its Nikkei index saw a 1,000 point, or 7%, decline on Thursday.

Below we look back at the week that was on Wall Street with seven articles circulating the business, finance, and economic space this week:

1. The 1 Equation Investors Need to Know to Understand the World Today
at The Atlantic
Well known investor Mohamed El-Erian, co-CEO of PIMCO, provides a few comments about the state of the global markets these days in this article. He points out how four global transitions and four unusual economic experiments are creating one unusual market.

2. Warren Buffett’s Favored Measure of Market Valuation Passes Unwelcome Milestone
at Greenbackd
There are continued talks these days about whether or not the markets are in a bubble. Many analysts have been giving dissenting views on the topic. In this post, Tobias Carlisle shows how one of Warren Buffet’s favorite valuation metrics now points to bubble levels in the stock market.

3. Variable-Rate Treasuries
at Monetary Affairs
Like the stock markets, there is a concern that the bond market is hitting unwelcomed levels. This post takes a look at the current state of Treasuries demands and the possibility for interest rate fluctuations

4. Five Different Measures of US Inflation
at Marc to Market
Marc Chandler points to a graphic that shows the different measurements of inflation and how they’ve fared over the past six years. There are many that are curious about inflation and how it will impact the Fed’s decision to continue QE; Chandler gives his views on the situation.

5. A Defense of the Financial Sector
at Conversable Economist
The financial sector has developed a bad reputation in recent years, for some deserved reasons. However, the financial markets provide quite an upside to everyday life. Timothy Taylor takes a look at an article written John H. Cochrane and provides his thoughts on the defense of the financial sector.

6. Wall Street Strategist Year-End S&P 500 Price Targets
at Bespoke Investment Group
Bespoke Investment Group takes a look at the year-end projections for the S&P 500 from a number of Wall Street strategiests. Looking at the list, and how a number of the firms have changed their views following a better-than-expect rally in the markets, it shows that even the so-called experts are unclear of what the future holds in the markets.

7. Gold’s Selloff a Bad Omen for Equity Markets
at Inside Investing
Gold has experienced a well documented sell-off over the past couple of months. Filip Mardjokic outlines how this sell-off of gold may impact equities going forward, and not in a good way.

Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.

(NWSA)

The spinoff, which will occur on June 28, will create two separate entities. The current News Corp will change its name to 21st Century Fox and it will include the more lucrative businesses of film, cable TV, and broadcast TV operations. The other company will takeover the News Corp name and contain print media businesses, including newspapers and publishing, which have been struggling in recent years.

Existing shareholders will receive one share of the print media company as a stock dividend for every four current News Corp shares.

Furthermore, the announced $500 million share buyback plan will be of the publishing company’s shares following the split.

News Corp shares were up 11 cents, or +0.33%, during morning trading on Friday. The stock is up +29.32% year-to-date.

The Bottom Line
Shares of News Corp (NWSA) have a dividend yield of 0.52% based on Friday’s intraday trading price of $32.88 and the company’s annualized dividend payout of 17 cents per share.

News Corp (NWSA) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.

Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.

(DKS)

Following the company’s first quarter results, the firm, which currently has an “Outperform” rating on DKS, has raised the company’s price target from $55 to $60. This new target suggests a 15% upside from the stock’s current price of $51.30.

Analyst Lee Giordano noted, “we consider Dick’s a best-of-breed retailer with talented management, an impressive track record of strong financial performance, and significant organic growth potential. We believe Dick’s market position and size as a leading big-box sporting goods retailer provides it with a sustainable competitive advantage offering one of the broadest and deepest assortments of leading brands, as well as a robust private brand/label offering.”

Looking ahead, the firm has reaffirmed its 2013 and 2014 earnings estimates of $2.86 and $3.33 per share.

Dicks shares were down -$1.06, or -2.02% during Friday morning trading. The stock is up 13% YTD.

The Bottom Line
Shares of Dicks Sporting Goods Inc (DKS) have a 0.97% yield, based on Friday morning’s price of $51.53.

Dicks Sporting Goods Inc (DKS) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.

Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.

(ROST)

The analysts noted that ROST continues to execute its business well. As such, the analysts now see shares of the company reaching $72, while maintaining a “Neutral” rating. This new price target suggests an 11% upside to Thursday’s closing price of $65.08.

Ross Stores shares were up 69 cents, or +1.06%, during morning trading on Friday. The stock is up +20.97% year-to-date.

The Bottom Line
Shares of Ross Stores (ROST) have a dividend yield of 1.04% based on last night’s closing price of $65.08 and the company’s annualized dividend payout of 68 cents per share.

Ross Stores, Inc. (ROST) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.

Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.

(WSM)

The firm has raised its estimates on WSM due to increased sales strength. UBS also lifted its price target to $56, suggesting a 2% increase from the stock’s current price of $54.61.

Williams-Sonoma shares were down -$2.07, or -3.65% during Friday morning trading. The stock is up 25% year-to-date.

The Bottom Line
Shares of Williams-Sonoma, Inc. (WSM) have a 2.23% yield, based on Friday morning’s price of $55.51.

Williams-Sonoma, Inc. (WSM) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.

Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.

(RL)

The firm has reduced its estimates on RL due to a conservative FY2014 revenue outlook which is a result of lost licensed revenue.

Ralph Lauren shares were down -$1.87, or -1.02% during Friday morning trading. The stock is up up 21% YTD.

The Bottom Line
Shares of Ralph Lauren Corp (RL) have a 0.88% yield, based on Friday morning’s price of $181.99.

Ralph Lauren Corp (RL) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.

Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.

(LTD)

The analysts now see shares of LTD reaching $56. This new price target suggests a 9% upside to Thursday’s closing price of $51.19.

L Brands shares were down 71 cents, or -1.39%, during morning trading on Friday. The stock is up +7.31% year-to-date.

The Bottom Line
Shares of L Brands (LTD) have a dividend yield of 2.34% based on last night’s closing price of $51.19 and the company’s annualized dividend payout of $1.20 per share.

L Brands Inc (LTD) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.

Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.

(PG)

The analysts upgraded PG from “Neutral” to “Buy” and see shares reaching $95. This price target suggests a 21% upside to Thursday’s closing price of $78.70.

Procter & Gamble shares were up $3.35, or +4.26%, during morning trading on Friday. The stock is up +20.99% year-to-date.

The Bottom Line
Shares of Procter & Gamble (PG) have a dividend yield of 3.06% based on last night’s closing price of $78.70 and the company’s annualized dividend payout of $2.41 per share.

The Procter & Gamble Company (PG) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.

Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.