Utilities Down As Investors Hedge On Fed Policy View -- Utilities Roundup

Shares of power producers ticked down as investors rotated into cyclical sectors.

The utilities sector finished a volatile week flat, as investors hedged their bets on the outlook for Fed policy.

The Federal Reserve's recent decision to gradually sell off its corporate bond holdings was taken by some investors as the first step on the path to "tapering" Treasury and mortgage-bond purchases, said Quincy Krosby, chief market strategist at Prudential Financial. Further "tapering" would likely push up bond yields, which would, in turn, make the utilities sector less attractive to investors.

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(END) Dow Jones Newswires

06-04-21 1735ET