Shares of REITs are trading lower amid a rise in Treasury yields following PPI data.
Portfolio Pulse from Benzinga Newsdesk
Shares of Real Estate Investment Trusts (REITs) are trading lower due to an increase in Treasury yields, which followed the release of Producer Price Index (PPI) data.

March 14, 2024 | 6:09 pm
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NEGATIVE IMPACT
Shares of Crown Castle Inc. are trading lower in response to rising Treasury yields following PPI data.
As a REIT, Crown Castle Inc.'s stock price is sensitive to changes in interest rates. The rise in Treasury yields, indicating higher interest rates, makes REITs less attractive to investors seeking income, leading to a decrease in share price.
CONFIDENCE 90
IMPORTANCE 70
RELEVANCE 80
NEGATIVE IMPACT
Extra Space Storage Inc. shares are down due to the increase in Treasury yields following the release of PPI data.
Extra Space Storage Inc., being a REIT, is negatively impacted by the rise in Treasury yields as it increases the cost of capital and makes the fixed income from REITs less appealing compared to risk-free Treasury bonds.
CONFIDENCE 90
IMPORTANCE 70
RELEVANCE 80
NEGATIVE IMPACT
Gaming and Leisure Properties Inc. sees a decline in share price following a rise in Treasury yields after PPI data.
As Treasury yields rise, indicating higher future interest rates, the attractiveness of REITs like Gaming and Leisure Properties Inc. decreases due to their high dividend yields becoming less competitive, leading to a drop in share price.
CONFIDENCE 90
IMPORTANCE 70
RELEVANCE 80
NEGATIVE IMPACT
Iron Mountain Inc. shares are trading lower as Treasury yields increase following PPI data.
The increase in Treasury yields, following PPI data, negatively affects Iron Mountain Inc. as it raises the comparative cost of investing in REITs, which typically offer high dividend yields, thus reducing their market value.
CONFIDENCE 90
IMPORTANCE 70
RELEVANCE 80
NEGATIVE IMPACT
Prologis Inc. shares are down in response to a rise in Treasury yields after the release of PPI data.
The rise in Treasury yields following PPI data makes the fixed income from REITs like Prologis Inc. less attractive, leading to a decrease in their share price as investors seek higher yields elsewhere.
CONFIDENCE 90
IMPORTANCE 70
RELEVANCE 80
NEGATIVE IMPACT
Public Storage shares are trading lower amid a rise in Treasury yields following PPI data.
The increase in Treasury yields, which followed the release of PPI data, negatively impacts Public Storage as higher interest rates make the high dividend yields offered by REITs less appealing, leading to a decrease in share price.
CONFIDENCE 90
IMPORTANCE 70
RELEVANCE 80
NEGATIVE IMPACT
Rexford Industrial Realty Inc. shares are down due to the increase in Treasury yields following PPI data.
Rexford Industrial Realty Inc., as a REIT, is adversely affected by the rise in Treasury yields as it makes the fixed income from REITs less competitive compared to the now higher yielding Treasury bonds, leading to a decline in share price.
CONFIDENCE 90
IMPORTANCE 70
RELEVANCE 80