A perfect storm is brewing for bank stocks.
The threat of higher interest rates is hammering growth stocks. The tech- and growth-heavy Nasdaq lost 2.5% on Thursday after Federal Reserve officials hinted that the first of many rate hikes could come in March.
We haven’t seen an interest rate increase since 2018. And now we’ll see at least three in 2022. The Fed is about to tighten the leash on this wild bull market.
I get it if you’re wary of loading up on any assets right now. We’ve enjoyed an incredible bull market run, and looming rate hikes put a damper on that.
But pockets of the market will do better than others as investors seek safety.
Bank stocks are one of those.
See which one we like the most
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