Geopolitics Alpha

5 Stocks to Avoid as Interest Rates Rise This Fall

Published . Updated .

5 Stocks to Avoid as Interest Rates Rise This Fall

Rising interest rates mean higher borrowing costs and challenge companies with bad balance sheets. Here are five stocks to avoid as interest rates rise.

Directly affected

  • No company is named in this report.

Indirectly affected

  • TLT iShares 20+ Year Treasury Bond-1.8%

    Long-term bonds move when yields change

  • IEF iShares 7-10 Year Treasury Bond-0.9%

    Treasury bonds move when yields change

  • SHY iShares 1-3 Year Treasury Bond-0.3%

    Short-term bonds move when the Fed changes rates

  • SPY SPDR S&P 500+1.6%

    Stocks move when the Fed changes the rate path

  • JPM JPMorgan Chase-4.3%

    Bank profits move with lending and interest rates

  • BAC Bank of America-18.8%

    Bank profits move with lending and interest rates

  • GS Goldman Sachs-8.5%

    Bank profits move with lending and interest rates

  • XLF Financial Select Sector SPDR-3.9%

    A fund of financial companies

  • KRE SPDR S&P Regional Banking-4.4%

    Regional banks are sensitive to interest rates

Price reaction, T-5 to T+3

TickerT-5T-3T-1T0T+1T+2T+3
TLT———————
IEF———————
SHY———————
SPY———————
JPM———————
BAC———————
GS———————
XLF———————
KRE———————

Market Call

Think this story will push the stock up or down over the next three trading days? Make a free call and see what other readers think. Points are play money with no cash value.

5 Stocks to Avoid as Interest Rates Rise This Fall Kiplinger

Source: Kiplinger

Congressional trades in the stocks in this story

Public disclosure filings, not a recommendation. The filing link is the source document. News use of these reports still sits under 5 U.S.C. § 13107(c).

How solid “5 Stocks to Avoid as Interest Rates Rise This Fall” looks

12 out of 100

“5 Stocks to Avoid as Interest Rates Rise This Fall” scores 12 out of 100. The score uses 1 sources.