What rising rates could mean for the stock market

SourceCNBC
SectorFinancial Markets
CountryMiddle east

Traders work on the floor of the NYSE.NYSEThe quick move higher in bond yields is sending a warning about the stock market - especially growth stocks.The benchmark 10-year Treasury has moved about 20 basis points since the start of the year (1 basis point equals 0.01%), and was at 1.13% Monday. Still relatively low, the yield is at the highest it's been since last March, but in itself the yield is not a problem.But the move could be signaling a period of more volatility for the stock market and the potential for more pressure on FANG and the other growth names that helped take the stock market higher last year. Some strategists expect those big tech and growth stocks to slow their gains this year, as value and cyclical names move higher on prospects vaccinations will lead to an improving economy.Strategists do not see yields at current levels halting the stock market's gains, but the expectation that rates will continue to rise could make the ride bumpier for stock investors."I think the path of least resistance...is still up...The technicals supporting this market are strong, but if you're looking for warning signs there are some warning signs coming out of the ...read more...