Fed Chatter • REIT Earnings • Stocks Slip

February 8, 2023 | Hoya Capital

Fed Chatter • REIT Earnings • Stocks Slip Real Estate Daily Recap Feb 8 Written By U.S. equity markets retreated Wednesday while bond markets snapped a three-day skid as investors analyzed a busy slate of corporate earnings reports and hawkish chatter from Federal Reserve officials. Erasing much of yesterday's rebound, the S&P 500 slipped 1.1% today while the tech-heavy Nasdaq 100 declined 1.8%. The Dow slipped 208 points. Real estate equities were among the better-performers today following a generally solid slate of earnings reports.

Equity REITs declined 0.5% while Mortgage REITs finished lower by 1.3%. West Coast-focused apartment REIT Essex Properties (ESS) rallied 2% after reporting decent fourth-quarter results. Despite a cooldown in rent growth and an uptick in unpaid rents, ESS expects FFO growth of 2% in 2023 following 16.2% growth in 2022. Site Centers (SITC) gained 0.5% after it reported decent results highlighted by a continued acceleration in rental rates with new lease cash spreads of 55.2% and renewal spreads of 7.6%.

SITC reported interest in potentially vacated space from Party City and Bed Bath. Income Builder Daily Recap U.S. equity markets retreated Wednesday while bond markets snapped a three-day skid as investors analyzed a busy slate of corporate earnings reports and commentary from Federal Reserve officials. Erasing much of yesterday's rebound, the S&P 500 slipped 1.1% today while the tech-heavy Nasdaq 100 declined 1.8%. The Dow slipped 208 points. Bonds caught a bid with the 10-Year Treasury Yield retreating for the first time since Friday's jobs report, ending the session lower by 2 basis points to 3.65%.

Real estate equities were among the better performers today following a generally solid slate of earnings reports. The Equity REIT Index declined 0.5% today with 3-of-18 property sectors in positive territory while the Mortgage REIT Index declined 1.3%. Real Estate Daily Recap Best & Worst Performance Today Across the REIT Sector Strip Centers : The first strip center REIT to ...