HIW - Soft Landing Secured
2024-07-28 09:00:00 ET
Summary
- U.S. equity markets posted mixed performance while interest rates dipped to four-month lows as a lukewarm start to corporate earnings season and mixed economic data reinforced Fed rate cut expectations.
- Another twist in a wild month of politics, President Biden announced that he would not seek reelection, instead endorsing VP Harris, setting the stage for a more competitive November election.
- The S&P 500 slipped 0.8% on the week as the powerful "value rotation" trade extended into a third-week. The Small-Cap 600 rallied 3.6% while the mega-cap Nasdaq 100 dipped 2.6%.
- Real estate equities - which were even more significant underperformers during the Fed's rate hiking cycle - were among the leaders for a third-straight week following a strong start to earnings season.
- Of the 27 equity REITs that have provided full-year guidance, 20 (74%) have raised their outlook, while just 1 (4%) has lowered its outlook - well above the historical average "raise rate" for the second quarter of 40-45%.
Real Estate Weekly Outlook
U.S. equity markets posted mixed performance this past week, while benchmark interest rates dipped to four-month lows as a lukewarm start to corporate earnings season and mixed economic data reinforced expectations that the Fed will begin cutting rates by September. Another stunning twist in a wild month of U.S. politics, President Biden announced that he would not seek reelection following weeks of mounting pressure from Democrat party leadership, who subsequently threw their support behind Vice President Kamala Harris, setting the stage for a more competitive November election....
Soft Landing Secured