A $2 Billion Home Purchase [Daily Recap]

February 18, 2020 | Hoya Capital

A $2 Billion Home Purchase [Daily Recap] Uncategorized Feb 18 Written By U.S. equity markets retreated from record-highs as investor attention reverts back to the potential economic fallout of the coronavirus outbreak following Apple's sales warning last night. Following 1.6% gains last week, the S&P 500 finished lower by 0.3% while the Dow Jones Industrial Average retreated by 165 points after gaining 1,100 points over the prior two-weeks. Coming off its best week in a year, the broad-based commercial Real Estate ETF outperformed but finished lower by 0.1% on the day ahead of a busy earnings slate.

"Merger mania" continued in the commercial REIT sector. Small-cap single-family rental REIT Front Yard Residential jumped 11% after it agreed to be acquired by privately held real estate firm Amherst Residential in a cash deal valued at roughly $2.3 billion. Homebuilder Sentiment remained near 20-year highs in February, as the NAHB cited “steady job growth, rising wages and low interest rates" as drivers of housing demand. Real Estate Daily Recap U.S. equity markets retreated from record-highs as investor attention reverts back to the potential economic fallout of the coronavirus outbreak following Apple's ( AAPL ) sales warning last night.

After gains of 1.6% last week, the S&P 500 ETF ( SPY ) finished lower by 0.3% while the Dow Jones Industrial Average ( DIA ) retreated by 165 points after gaining more than 1,100 points over the prior two weeks. The 10-Year Treasury Yield ( IEF ) declined by 3 basis points to end at 1.56%. Coming off its best week in more than a year, the broad-based commercial Real Estate ETF ( VNQ ) outperformed again but still finished lower by 0.1% on the day ahead of a jam-packed week of real estate earnings results.

The Hoya Capital Housing Index , the benchmark that tracks the performance of the US Housing Industry, retreated by 0.2% on the day after closing at record-highs ...