REIT - Consumer Shows Stress
2024-06-23 09:00:00 ET
Summary
- U.S. equity markets climbed to fresh record-highs this week while benchmark interest rates hovered near two-month lows as the "bad news is good news" dynamic persisted.
- Investors responded favorably to another relatively downbeat slate of economic data, including soft retail sales, slowing home construction activity, and a rise in unemployment claims to five-month highs.
- Despite weakness from chip giant Nvidia, the S&P 500 posted its eighth weekly gain in the past nine weeks, advancing 0.3% and notching another series of record-highs during the week.
- Real estate equities were mixed this week, as data showing a sharp cooldown in new construction activity revealed some longer-term benefit to the lingering rate-related valuation headwinds.
- Homebuilders slipped as Lennar - the nation's largest builder - topped estimates, but provided cautious guidance, citing a "more stressed" consumer and a high degree of sensitivity to interest rate movement.
Real Estate Weekly Outlook
U.S. equity markets climbed to fresh record-highs this week while benchmark interest rates hovered near two-month lows as the "bad news is good news" dynamic persisted, with investors responding favorably to another relatively downbeat slate of economic data, including soft retail sales, slowing home construction activity, and a rise in unemployment claims, which together sent the Citi Economic Surprise Index to the lowest since August 2022....
Consumer Shows Stress