These stocks win when short-term rates are surging like they are now

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The yield on the 2-year Treasury jumped to above 5.07% on Thursday, a level it hasn't seen since June 2007.

As yields jump to their highest levels in more than 16 years, investors may want to seek out stocks that receive a tailwind from climbing interest rates. The yield on the 2-year Treasury jumped to above 5.07% on Thursday, a level it hasn't seen since June 2007 . The catalyst was a much stronger ADP jobs report than expected, which raised fears Friday's official jobs report will come in hotter and give the Federal Reserve reason to restart its rate-hiking campaign.

sought to find stocks that go higher during periods of rising short-term rates. Specifically, we looked at the prior 5 months with the biggest jump in rates the last five years and which shares performed the best during those months. We then scrubbed the screen for stocks where analysts like the outlook today and anticipate a gain over the next 12 months.

 

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U.S. stocks open lower as Treasury yields jump after stronger-than-expected ADP jobs dataU.S. stocks opened lower Thursday after data showed the private sector added far more jobs in June than expected. The Dow Jones Industrial Average was down 0.6% soon after the opening bell:
Source: MarketWatch - 🏆 3. / 97 Read more »