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Mmastodon BusinessMarkets first seen 10 h ago, last 1 h ago, peak #2

Small-Cap Stocks Hit Hard as Yields Surge

Original: As Yields Surged, Small-Cap Stocks Were Hit Hard https://www.wsj.com/finance/stocks/as-yields-surged-small-cap-stocks-we

Small-cap stocks sold off sharply as government bond yields surged, according to a Wall Street Journal report. Higher yields raise borrowing costs and discount future earnings more heavily, and smaller companies are typically more sensitive to those pressures than large-cap firms. The move has put a spotlight on how rising rates are weighing on the riskier end of the stock market.

Why now: Surging bond yields are rattling equity markets, with rate-sensitive small caps bearing the brunt of the selling.

Wall Street Journalsmall-cap stocksUS bond market

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