- The Vanguard Real Estate ETF (NYSEARCA:VNQ) is down 4.05% in premarket action as REITs - for now - take no pleasure from the historic dive in interest rates.
- The 10-year U.S. Treasury yields just 0.40%, and the long bond yield is down to 0.83%.
- REITs may be yield plays, but the businesses themselves do have some correlation to the strength of the economy. With yields, oil, and stocks plunging, recession fears are rightly growing.
- Some favored names in the sector: Realty Income (NYSE:O) -5.2%, Simon Property (NYSE:SPG) -2.6%, Omega Healthcare (NYSE:OHI) -3.3%, Annaly Capital (NYSE:NLY) -3.8%, Diversified Healthcare (NASDAQ:DHC) -4.3%, Starwood Property (NYSE:STWD) -3.6%.
- Selected ETFs: VNQ, RQI, IYR, RNP, RFI, KBWY, NRO, XLRE, SCHH, FREL, JRS, ICF