Fed playbook: Which stocks to buy or sell depending on what the Fed does

  • 📰 CNBC
  • ⏱ Reading Time:
  • 25 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 13%
  • Publisher: 72%

Business News News

Business Business Latest News,Business Business Headlines

CNBC Pro screened for names screened that are the most sensitive to interest rates by looking at the 100-day correlation between each S&P 500 stock and SHY ETF.

As investors look to position based on the Federal Reserve's path of rate hikes, certain names stand out as winners — depending on the direction the central bank takes. The Fed is widely expected to increase its benchmark borrowing rate by a quarter percentage point on Wednesday, bringing it to a target range between 5%-5.25%. What investors are focused on is whether the central bank signals it is leaving the door open to more increases or is done hiking.

Illumina is in the middle of a proxy fight with activist investor Carl Icahn over its acquisition of cancer test developer Grail. Icahn, who has a 1.4% stake in the company, slammed the company's "very disappointing" first-quarter results and its plans to cut costs. In an open letter to shareholders , Icahn said CEO Francis deSouza was "desperately, hilariously and, most of all, unsuccessfully" trying to spin the "decidedly mediocre" quarterly results.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 12. in BUSİNESS

Business Business Latest News, Business Business Headlines