Such a recession would hit interest-sensitive sectors the hardest: residential housing, commercial construction and automobile sales.
Treasuries, for instance, are of the highest credit quality, but are also very interest rate sensitive.
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Technology and the interest-sensitive sector are where the action is, and this should continue if the economy holds up.
When interest rates rise, the value of (interest rate sensitive) bonds will decline.
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Economist suggests going short on oil and buying interest rate sensitive stocks.
In normal times, Fed policies work through interest-sensitive sectors such as housing.
Stephen Roach, chief economist of Morgan Stanley Dean Witter, thinks this in turn will boost the interest-sensitive areas of the economy, such as capital investment, consumer durables and home building.
Fidelity National is certainly sensitive to activity in the residential mortgage market, and as rates on mortgages have come back down from April through mid-May, interest rate sensitive stocks such as the home builders, mortgage lenders and REITs have all rallied.
The economy grew steadily through 17 interest rate hikes, arguing that it may turn out to be sensitive to the level of interest rates but was not very sensitive to rate hikes from low levels.
Range trading the interest and commodity sensitive currency remains the dominant course of action.
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Hardest-hit would be interest-rate sensitive stocks of consumer-goods, financing and auto companies.
"Some sectors are booming while others, which are very interest rate-sensitive and sensitive to a high dollar, are really doing it tough, " she says.
The move up in yields will be substantial enough over the next few years that all interest-rate sensitive securities will be affected (utilities, preferred stock, etc).
Bank stocks, which are sensitive to interest-rate cycles, have bee among the biggest movers today.
Shares in financial companies, which are particularly sensitive to interest-rate moves, have been hit hard.
One reason for this approach is that the economy has traditionally not been very sensitive to interest rates.
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The average duration in the index is 26 years, which means it is super sensitive to interest rate changes.
And historically it has been less sensitive to interest-rate moves, so in that sense it is not quite like a normal bond.
Interest rates rose on the news and the best investors at Marketocracy (the m100) responded accordingly by jettisoning interest-rate-sensitive shares out of their portfolios.
Take the ten-year Treasury: the ten-year Treasury at a 4% yield is less risky, less sensitive to interest-rate changes than a ten-year Treasury at 2%.
Housing activity is normally very sensitive to interest rates, so with a lag of a few quarters during which easier credit works through the system, housing starts revive, often before the recession is over.
They're attractively priced. (Except for Pfizer, which sells near 40 times next year's numbers and is too rich.) Other enticing prospects lie with commercial finance companies that aren't overly sensitive to interest--such as Heller and CIT, both of them very cheap.
Although investigators say little of the information was sensitive enough to interest Lippo, they are examining whether Huang called Lippo shortly after some intelligence briefings.
Unlike Froedtert, whose attackers were allegedly motivated by self-interest, these attackers posted sensitive information about patients and employees alike across numerous public forums for seemingly no personal gain.
Borrowers prone to default, he says, may be disproportionately sensitive to changes in interest rates.
That really is a measure of how sensitive they are to interest rates.
Because growth-stock buyers are sensitive to long-term interest rates, the stocks will be under pressure with strong GDP growth.
In the wake of debt-driven financial crises, households and businesses typically spend years whittling down debts, and are much less sensitive to the lure of lower interest rates.
The UK government's public interest immunity (PII) application to exclude sensitive information is being opposed by lawyers for Mr Litvinenko's widow as well as media organisations, including the BBC.
But for Quinn, of Wheelock Natwest, the most promising equities for the rest of the year are to be found in Thailand, the Asian market most sensitive to U.S. interest rates -- a plus if you think those rates are headed down.
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