Fed Ahead • REIT Earnings • Jobs Week

January 30, 2023 | Hoya Capital

Fed Ahead • REIT Earnings • Jobs Week Real Estate Daily Recap Jan 30 Written By U.S. equity markets declined Monday as investors took positions ahead of a jam-packed week of corporate earnings reports, employment data, and the critical Federal Reserve interest rate decision. Entering the week with gains in three-of-four weeks to start the new year, the S&P 500 slipped 1.4% today while the tech-heavy Nasdaq 100 dipped more than 2%.

Real estate equities were lower as well today as REIT earnings season starts to kick into gear. The Equity REIT Index declined 1.1% today while Mortgage REITs declined 1.6%. The main event of the week comes on Wednesday with the FOMC Interest Rate Decision in which the Fed is widely expected to raise rates by 25 basis points to bring the Fed Funds rate to a 4.75% upper-bound. Dynex Capital (DX) dipped about 5% after it kicked-off mortgage REIT earnings season this morning, reporting a 4% increase in its Book Value Per Share, but noting that its Earnings Available for Distribution - which excludes hedge gains - dipped more than expected.

Income Builder Daily Recap U.S. equity markets declined Monday as investors took positions ahead of a jam-packed week of corporate earnings reports, employment data, and the critical Federal Reserve interest rate decision. Entering the week with gains in three-of-four weeks to start the new year, the S&P 500 slipped 1.3% today while the tech-heavy Nasdaq 100 dipped more than 2%. The Dow dipped 260 points - snapping a six-session winning streak.

Real estate equities were lower as well today as REIT earnings season starts to kick into gear. The Equity REIT Index declined 1.1% today with all 18 property sectors in negative territory while the Mortgage REIT Index slipped 1.6%. Ahead of the Fed rate decision on Wednesday, benchmark interest rates ticked slightly higher with the 10-Year Treasury Yield closing at 3.55% - up 3 basis points ...