Shares of power producers fell slightly ahead of jobs data.
The utilities sector has plunged this week as investors adjust to the outlook for interest rates.
Utilities are sometimes known as a “bond proxy” because of their acute sensitivity to Treasury yield movements.
“The bond market is saying its consistent message that’s finally getting hrough to most investors — ‘we’re staying higher for longer,'” said JJ Kinahan, chief executive of IG Markets and president of its brokerage tastytrade.
“Four months ago, we were having these conversations about rate cuts by the end of the year…I’m not hearing that any more,” Kinahan said.
Write to Rob Curran at [email protected]
Read the full article here