Contagion Concerns • PPI Cools • REIT Dividend Hikes

March 14, 2024 | Hoya Capital

Contagion Concerns • PPI Cools • REIT Dividend Hikes Real Estate Daily Recap Mar 15 Written By U.S. equity markets pulled back Wednesday in another volatile session as contagion from the Silicon Valley Bank collapse spread to Europe with mounting liquidity concerns at Credit Suisse. After a rebound on Tuesday, the S&P 500 finished lower by 0.7% today - clawing back intra-day declines of nearly 2% - while the tech-heavy Nasdaq 100 gained 0.5%.

Real estate equities were among the better-performers today as credit concerns were offset by tailwinds from sharply lower benchmark interest rates. The Equity REIT Index declined 0.1% today. Amid the market turmoil, we did see some positive dividend news over the past 24 hours with a trio of REITs raising their dividends. Net Lease REIT Realty Income (O) hiked its monthly dividend for the second time this year to $0.2550/share, a 0.2% increase from the prior month.

Has the Fed been fighting the "ghosts of inflation past?" Producer Price Index data was significantly cooler-than-expected with the Core Index posting a month-over-month decline for the first time since May 2020. Income Builder Daily Recap U.S. equity markets pulled back Wednesday in another volatile session as contagion from the SVB collapse spread to Europe with mounting solvency liquidity at Credit Suisse, sparking a renewed bid for safe-haven assets. After a rebound on Tuesday, the S&P 500 finished lower by 0.7% today - clawing back intra-day declines of nearly 2% - while the tech-heavy Nasdaq 100 managed to finish higher by 0.5%.

The Dow dipped 281 points. Real estate equities were among the better-performers today as credit concerns were offset by tailwinds from sharply lower benchmark interest rates. The Equity REIT Index declined 0.1% today with 5-of-18 property sectors in positive territory, but the Mortgage REIT Index slipped 3.3%. Contagion concerns were intensified by turmoil at Credit Suisse ( CS ), which plunged to all-time lows after its top ...