Deep Inversion • Strong Jobs Data • Data Center Deal?

March 8, 2023 | Hoya Capital

Deep Inversion • Strong Jobs Data • Data Center Deal? Real Estate Daily Recap Mar 8 Written By U.S. equity markets finished little-changed Wednesday as traders parsed a second day of Congressional testimony from Fed Chair Powell and another slate of stronger-than-expected employment data. Trimming its week-to-date declines to 1.3%, the S&P 500 advanced 0.1% today while the tech-heavy Nasdaq 100 gained 0.5%. The Dow slipped 58 points. Real estate equities and other yield-sensitive segments rebounded after a rough start to the week, with the Equity REIT Index gaining 1.2% today with 16-of-18 property sectors in positive territory.

Bond markets repeated the performance patterns seen on Tuesday, with the 10-Year Treasury Yield holding steady at 3.98%, but shorter-term rates marched higher, with the 2-Year Treasury Yield closing at 5.07% - representing the deepest yield curve inversion since 1981. DigitalBridge (DBRG) rallied more than 6% following reports that the company is considering a sale of its minority stake in Vantage Data Centers - one of the largest data centers operators.

Income Builder Daily Recap U.S. equity markets finished little-changed Wednesday as traders parsed a second day of Congressional testimony from Fed Chair Powell and another slate of stronger-than-expected employment data. Trimming its week-to-date declines to 1.3%, the S&P 500 advanced 0.1% today while the tech-heavy Nasdaq 100 gained 0.5%. The Dow slipped 58 points. Real estate equities and other yield-sensitive segments rebounded after a rough start to the week with the Equity REIT Index gaining 1.2% today with 16-of-18 property sectors in positive territory, but the Mortgage REIT Index declined 0.4%.

Homebuilders and the broader Hoya Capital Housing Index were among the leaders on data showing that mortgage applications rebounded last week despite an increase in mortgage rates to the highest level since last November. Bond markets repeated the performance patterns seen on Tuesday with the 10-Year Treasury Yield holding steady at 3.98%, but shorter-term rates marched higher with the 2-Year ...