Shares of power producers continued their recent retreat as traders rotated into less rate-sensitive sectors.
During much of the first half of the year, the defensive nature of utilities and their exposure to rising artificial-intelligence related demand has lured investors to the utilities sector. But momentum turned against utilities in recent weeks, causing a rout.
At a conference earlier this week, GE Vernova executives echoed statements from major utilities in first-quarter earnings season, forecasting a historic boom in construction of electricity-infrastructure and generation facilities, despite community resistance to data center development.
Write to Rob Curran at rob.curran@dowjones.com
(END) Dow Jones Newswires
