Yields are on the move once again. These stocks could get a boost if they keep going higher
Using LSEG data, CNBC Pro screened the S&P 1500 for stocks with the strongest negative 60-day correlations to the iShares 20+ Year Treasury Bond ETF (TLT).
TL;DR
- Bond yields rose on Thursday, diminishing gains from Wednesday's announcement about increased Treasury purchases.
- Stocks with strong negative correlations to the iShares 20+ Year Treasury Bond ETF (TLT) tend to rise when yields increase.
- The energy sector, including companies like ConocoPhillips, Permian Resources, and ExxonMobil, showed the strongest inverse relationships with TLT.
- Other commodity-related companies such as LyondellBasell and Dow also appeared on the list.
- Uncertainty in oil supply constraints and potential for higher oil prices contribute to the earnings outlook for oil producers, impacting Treasury prices and yields.