Over the past week, benchmark indexes suffered a dip due to concerns about the new coronavirus variant Omicron. As the reimposition of travel restrictions and lockdowns could lead to a market crash, fundamentally sound stocks Microsoft (MSFT), Johnson & Johnson (JNJ), UnitedHealth Group (UNH), and Kroger (NYSE:) might help hedge your portfolio against the current market risk. Stock markets saw a steep decline since South Africa’s discovery of the highly contagious and deadly omicron coronavirus variation. The World Health Organization (WHO) has stated that the new variant is a “cause for concern,” leading to the reimposition of travel restrictions and lockdowns across the globe. Over the past five days, the S&P 500 index fell 2.3%, and the (DJIA) declined 2.7%. Last week, however, the grew 29.2%. The new variant scare caused prices to plummet 13%, making it the 2021 worst day.

The reimposition and disruption of supply chains is likely to impact international trade. Markets will remain volatile until the transmission rate for omicron can be determined. While renowned U.S. health official Dr. Fauci has stated that it is “too early to say” whether lockdowns will be reimposed, the probability of the same cannot be negated. The country will be protected from any severe repercussions, however, since more than 80% are currently vaccinated in the United States.

A beta lower than one is preferable in volatile markets. Thus, fundamentally sound stocks Microsoft Corporation (NASDAQ:), Johnson & Johnson (JNJ), UnitedHealth Group Incorporated (NYSE:), and The Kroger Co . These bets, which are less volatile than 1 beta (KR), could prove to be great bets.

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