Industrials Down Amid Rate-Rise Fears -- Industrials Roundup
Shares of manufacturing and transportation companies declined as traders rotated into less economically sensitive areas, fearful that higher interest rates could crimp the global economic recovery.
After years of wallowing near historic lows, Treasury yields and other bond rates are rising rapidly. As corporate borrowing rates are tied to Treasury benchmarks, the spike in yields could sting companies that have over-stretched with debt issuance, said Jeffrey Pavlik, founder of hedge fund firm Pavlik Capital Management.
--Rob Curran, rob.curran@dowjones.com
(END) Dow Jones Newswires
January 30, 2018 16:17 ET (21:17 GMT)