Can Utilities Hold Up?

Late last year, Utility stocks surged. That’s a sign that investors had taken a much stronger defensive posture.

But Utes have gradually lagged the market over the last two months, and the sector got hit hard on Friday.

This is a sign that investors expect rates to go up. They’re rotating away from dividends and towards cyclicals.

Posted by Eddy Elfenbein on September 12th, 2016 at 9:18 am

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