MBB - Fed Looms As Earnings Begin
2024-01-28 09:00:00 ET
Summary
- U.S. equity markets notched another week of gains after a busy slate of economic data and corporate earnings results were broadly consistent with a "soft landing" trend for the domestic economy.
- Ahead of the Federal Reserve's first policy meeting of 2024, the FOMC's favored inflation gauge - Core PCE - showed a "2-handle" for the first time in nearly two years.
- Notching a series of record highs through the week, the S&P 500 advanced 1.2%, extending its impressive rally since late October to 12 of the past 13 weeks.
- Real estate equities lagged this week as modest upward pressure on long-term rates offset a generally solid start to REIT earnings season. The Equity REIT Index slipped 0.5% this week, but Mortgage REITs gained 1.2%.
- Office REITs added to an impressive three-month rebound after NYC-focused SL Green reported solid earnings results highlighted by a rebound in leasing activity, echoing other indicators showing a slow-but-steady recovery in office fundamentals.
Real Estate Weekly Outlook
U.S. equity markets notched another week of gains - lifting the major equity benchmarks to fresh record-highs - after a busy slate of economic data and corporate earnings results were broadly consistent with a "soft landing" trend for the U.S. economy. Ahead of the Federal Reserve's first policy meeting of 2024, the FOMC's favored inflation gauge - Core PCE - showed a "2-handle" for the first time in nearly two years, but a stubborn rebound in energy prices tempered optimism over the pace and magnitude of rate cuts ahead....
Fed Looms As Earnings Begin