Utility Stocks Halt Record-Long Rout With Market Bouncing Back
(Bloomberg) -- The stocks of major American utilities are bouncing back from a record-setting losing streak.
The S&P 500 Utilities Index snapped a 14-day rout, the index’s longest slide ever, by rebounding 1.5%, according to data compiled by Bloomberg. All but one of the index’s 28 members advanced.
The sector is joining in the broader market’s rebound from Tuesday’s selloff, when the S&P 500 Index had its steepest drop since May on the back of surging Treasury yields. Treasury yields also pulled back on Wednesday.
Utility stocks are particularly sensitive to interest rate changes. The companies also face exposure from the price of natural gas, which has surged this year.
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