9 hours ago
Utilities stocks struggle as NextEra energy falls; solar stocks struggle
Even as the market recovered heading into the afternoon, utilities stocks were still down sharply.
Rising bond yields are typically a negative for these dividend-paying defensive stocks. But the latest round of pain was partly related to a selloff in renewable- and solar-energy related stocks spurred by provisions of the GOP tax and spending bill that would gut tax credits passed by the previous administration for renewables projects.
NextEra energy was down roughly 10%, on track for its biggest daily drop since 2020, according to Dow Jones Market Data.
Outside of the utilities sector, shares of solar stocks like Enphase Energy and First Solar Inc. were down sharply, sitting on losses of 18% and 4.8% in recent trading.
The Utilities Select Sector SPDR ETF was off by 1.6%.
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