According to CNBC, strategists and investors see homebuilders, utilities, technology stocks and small caps as vulnerable if Treasury yields remain elevated, while healthcare may prove more resilient. The 10-year Treasury yield rose more than 90 basis points in 2026 and topped 5.3% earlier this month, its highest since 2002. The 30-year yield briefly exceeded 5.7% in October, a 24-year high. Yields have since pulled back, but September consumer prices rose 3.7% year over year, above expectations, and traders priced in at least one more Federal Reserve rate hike before year-end, according to CME Group’s FedWatch tool.

Homebuilders face pressure from higher mortgage rates and weaker housing affordability. In September, 38% of builders cut prices, up from 35% in August, and the iShares U.S. Home Construction ETF fell 7.3% that month. Utilities also face exposure because of their debt loads and capital-intensive businesses; the S&P 500 utilities sector dropped more than 6% in September and was down around 1% in 2026, while the S&P 500 gained 12%.

U.S. Bank Asset Management Group’s Bill Northey said technology stocks could also be vulnerable amid concerns about borrowing for AI data center expansion. CoreWeave sold more than $4 billion in convertible bonds in September, and its total debt exceeded $51 billion. The iShares Semiconductor ETF was on track to post its ninth consecutive losing session. Raymond James CIO Larry Adam said small caps face added financing pressure because about 54% of their debt financing is short-term; the Russell 2000 was down more than 11% from its August record high.

Northey said healthcare could hold up better because of steady earnings and consistent demand. Abbott Laboratories, Boston Scientific and CVS Health met a screen for S&P 500 healthcare stocks with buy ratings from at least 55% of analysts and at least 10% implied upside to average price targets. Abbott had buy ratings from 65% of analysts, with its average target indicating nearly 16% upside from Thursday’s close.