Traders on the floor of the New York Stock Exchange
Source: NYSE
As interest rates rise, investors may way want to focus on stocks with strong earnings around the corner, rather than higher valued names promising profits far down the road, Goldman Sachs said.
Treasury yields surged last week, causing investors to rethink their buying strategies. The benchmark bond yield has pulled back this week, but most Wall Street strategists project it to push higher again as the year progresses.
The move higher for rates unnerved investors and appeared to weigh on the shares of fast-growing tech stocks. David Kostin, Goldman's U.S. equity strategist, said in a note over the weekend that investors looking to avoid those losses should focus on another group.
