A general term for any stock whose price tends to change with interest rates. Generally, if interest rates rise, shares of a stock that is interest-sensitive drops in price. Financial stocks, such as bank stocks, are good examples of these. Other interest-sensitive stocks can include companies with lots of debt because of their high cost of borrowing.
Related information about interest-sensitive stock:
- Interest Sensitive Stock Definition | Investopedia
Any stock with a price that is extremely sensitive to changes in interest rates. Interest sensitive stocks are shares that will see large price changes relative to ...
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Definition of interest-sensitive stock: A general term for any stock whose price tends to change with interest rates. Generally, if interest rates rise, shares of a ...
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Interest-sensitive stock. Stocks whose earnings are dependent upon and change with the interest rate, e.g., bank stocks. Interest Sensitive Stock. A stock whose ...
- Interest Sensitive Stock: Definition from Answers.com
stock of a firm whose earnings change when interest rates change, such as a bank or utility, and which therefore tends to go up or down on news of rate.
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interest-sensitive stock definition: A stock that is particularly sensitive to changes in interest rates. Often interest-sensitive stocks are bank stocks. When interest ...
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interest rate differential · interest rate futures · interest rate future · interest rate option · interest rate parity · interest rate swap · interest-sensitive stock · interest ...
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Interest-Sensitive Stock. A stock whose price is very much affected by rising or falling interest rates. Companies in a number of industries have fortunes tied to ...
- Common stock investment strategies
As a result of this phenomenon, the price of an interest-sensitive stock falls in periods of rising interest rates, whereas in a period of falling interest rates the price ...