Bond market's post-Trump volatility means more pain for utility stocks: BofA

New York

VOLATILITY in the bond market may push utility valuations back towards the levels of 2015, a recipe for pain in a group where a second half selloff has been exacerbated by the election of Donald Trump.

That's according to Bank of America Merrill Lynch, which downgraded seven stocks on Tuesday, saying that their drop since Election Day isn't enough to reflect the risk of rising bond yields. Power companies, which have been steadily falling since June amid a rotation out of defensive stocks, have l…