Shares of Latin American e-commerce platform MercadoLibre (NASDAQ: MELI), communications software platform Twilio (NYSE: TWLO), and automation software company UiPath (NYSE: PATH) fell hard in January, losing 16%, 21.7%, and 15.3% of their respective market values last month. In all likelihood, the decline in these stocks had completely to do with fears over higher interest rates. If rates move higher than expected, growth stocks would be worth less because of the higher discounting of future earnings. Read More...
Shares of Latin American e-commerce platform MercadoLibre (NASDAQ: MELI), communications software platform Twilio (NYSE: TWLO), and automation software company UiPath (NYSE: PATH) fell hard in January, losing 16%, 21.7%, and 15.3% of their respective market values last month. In all likelihood, the decline in these stocks had completely to do with fears over higher interest rates. If rates move higher than expected, growth stocks would be worth less because of the higher discounting of future earnings.
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