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May 8, 2019, 1:58 p.m. EDT

Utilities sector the only 1 of 11 S&P 500 sectors to lose ground as Treasury yields bounce

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By Tomi Kilgore

Shares of utility companies were broadly lower Wednesday, with the sector the only one of the S&P 500's /zigman2/quotes/210599714/realtime SPX +0.0073% 11 sectors to lose ground, weighed down by a big bounce in Treasury yields. The SPDR Utilities Select Sector ETF /zigman2/quotes/206645117/composite XLU +0.78% shed 1.0% in afternoon trade, with 27 of 28 equity components losing ground. The biggest decliner was NRG Energy Inc.'s stock /zigman2/quotes/208308731/composite NRG +0.10% which slumped 5.1%. Among other more active utilities ETF components, shares of AES Corp. /zigman2/quotes/209256253/composite AES -0.05% lost 2.3%, Excelon Corp. /zigman2/quotes/205982254/composite EXC -0.63% gave up 0.9% and Southern Co. /zigman2/quotes/208000495/composite SO +0.08% shed 0.6%. The lone gainer was Sempra Energy's stock /zigman2/quotes/206074517/composite SRE +1.29% which tacked on 0.6%. Meanwhile, the yield on the 10-year Treasury note rose 3.6 basis points to 2.484%, after falling 10.4 basis points the previous three sessions, as a bounce in the stock market helped calm risk-off trades. Utilities stocks tend to have relatively high dividend yields, so a rise in yields on low-risk Treasurys make them less attractive. The utilities ETF's dividend yield is 3.15%, compared with the implied yield for the S&P 500 /zigman2/quotes/210599714/realtime SPX +0.0073% of 1.99%, according to FactSet.

/zigman2/quotes/210599714/realtime
US : S&P US
3,168.80
+0.23 +0.0073%
Volume: 1.96B
Dec. 13, 2019 5:14p
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/zigman2/quotes/206645117/composite
US : U.S.: NYSE Arca
$ 63.37
+0.49 +0.78%
Volume: 19.33M
Dec. 13, 2019 8:00p
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/zigman2/quotes/208308731/composite
US : U.S.: NYSE
$ 39.37
+0.04 +0.10%
Volume: 2.48M
Dec. 13, 2019 6:30p
P/E Ratio
17.27
Dividend Yield
0.30%
Market Cap
$9.90 billion
Rev. per Employee
$1.96M
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/zigman2/quotes/209256253/composite
US : U.S.: NYSE
$ 18.92
-0.01 -0.05%
Volume: 4.87M
Dec. 13, 2019 6:30p
P/E Ratio
24.89
Dividend Yield
3.03%
Market Cap
$12.57 billion
Rev. per Employee
N/A
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/zigman2/quotes/205982254/composite
US : U.S.: Nasdaq
$ 43.82
-0.28 -0.63%
Volume: 7.20M
Dec. 13, 2019 4:00p
P/E Ratio
18.42
Dividend Yield
3.31%
Market Cap
$42.87 billion
Rev. per Employee
$1.08M
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/zigman2/quotes/208000495/composite
US : U.S.: NYSE
$ 60.76
+0.05 +0.08%
Volume: 5.16M
Dec. 13, 2019 6:30p
P/E Ratio
13.97
Dividend Yield
4.08%
Market Cap
$63.67 billion
Rev. per Employee
$808,954
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/zigman2/quotes/206074517/composite
US : U.S.: NYSE
$ 148.78
+1.89 +1.29%
Volume: 1.61M
Dec. 13, 2019 6:30p
P/E Ratio
17.22
Dividend Yield
2.60%
Market Cap
$41.41 billion
Rev. per Employee
$693,218
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/zigman2/quotes/210599714/realtime
US : S&P US
3,168.80
+0.23 +0.0073%
Volume: 1.96B
Dec. 13, 2019 5:14p
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