Reported 10 months ago
Weiqiaoyi/Taipei Report June 20, 2024, 4:10 PM US 10-year Treasury bond yields rose, putting pressure on fixed-income assets, causing recent fluctuations in the preferred stock index. Analysts suggest that with a contraction in overall preferred stock net supply and strong market demand, preferred stock prices are likely to be supported. Fund manager insights indicate that as interest rates remain low and market consensus leans towards Fed rate cuts, the future outlook for preferred stock prices is optimistic, with room for growth. Recommended sectors include large commercial banks, insurance companies, high cash flow visibility utilities, and communication service companies. Managers believe that as Fed monetary tightening nears its end, mid to long-term funds are expected to flow back into preferred stock markets, showing promising performance.
Source: YAHOO