Lockheed Martin has long-term defense contracts in a variety of different niches. A large backlog, stock buybacks, and a growing dividend should help it generate steady returns. Defense stocks can serve this need.
While U.S. President Donald Trump has talked of victory after reaching a weekend deal with China to reduce the sky-high tariffs levied on each others' goods, businesses in China are reacting to the temporary deal with caution. The U.S. and China have cut the tariffs levied on each other in April, with the U.S. cutting the 145% tax Trump imposed last month to 30%. China agreed to lower its tariff rate on U.S. goods to 10% from 125%.