Growth stocks and related ETFs are gaining momentum after Federal Reserve officials helped assuage fears over surging inflation and spiking bond yields.

“The main thing I am looking at always is still the bond yields, that seems to be the driver. If we are still below 1.6%, that looks pretty good to me,” Joe Saluzzi, co-manager of trading at Themis Trading, told Reuters.

Yields on benchmark 10-year Treasuries were around 1.57% on Wednesday.

“There is going to be some inflation but then it comes back to whether it is temporary or not. Until I see those bond yields pick up significantly, I think you are kind of buying right now,” Saluzzi added.

The rising Treasury yields have put pressure on technology and growth stocks, which see future cash flows discounted at a higher rate in an inflationary environment.

Multiple Fed officials have already commented on inflation, stating that the central bank views the recent price gains as transitory in nature and will shift gears if inflation begins to run too high.

Looking ahead, Wall Street will be watching for the closely monitored monthly U.S. personal consumption report, an inflation gauge that the Fed also takes into account, that is due at the end of the week.

As the growth style rebounds from the pummeling it received from the inflation-induced selling pressure, investors can look to strategies like the American Century Focused Dynamic Growth ETF (FDG), which is designed to invest in early-stage, high-growth companies. FDG is a high-conviction strategy designed to invest in early-stage, rapid growth companies with a competitive advantage, along with high profitability, growth, and scalability.

Additionally, investors can look to the American Century STOXX U.S. Quality Growth ETF (NYSEArca: QGRO). QGRO’s stock selection process is broken down into high-growth stocks based on sales, earnings, cash flow, and operating income, along with stable-growth stocks based on growth, profitability, and valuation metrics.

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