Reuters Videos21d agobearishVIDEO
Small caps vulnerable to rate-driven selloff, analyst says<body><p>STORY: The iShares Russell 2000 ETF (IWM) was trading lower on Wednesday (July 22).</p><p>"The catalyst for small caps being down is a rise in interest rates," Lang said. "Small caps are anathema to higher interest rates."</p><p>"We're seeing steady rises [in rates] over the past several weeks," he noted, adding that the 10-year Treasury yield is "pushing up against 4.7%."</p><p>"Once it pushes past through 4.7%, I think the wheels come off on some of these small-cap stocks," Lang said.</p></body>
