Fed In Focus • Home Sales Slip • Hotel Recovery

November 18, 2022 | Hoya Capital

Fed In Focus • Home Sales Slip • Hotel Recovery Real Estate Daily Recap Nov 18 Written By U.S. equity markets rebounded Friday- but ended the week with modest declines- as investors assessed hawkish Fed commentary and lackluster economic data including a ninth-straight monthly decline in home sales. Recovering after a two-day decline, the S&P 500 advanced 0.5% today- trimming its weekly decline to 0.6%- while the tech-heavy Nasdaq finished flat today to end the week lower by 1.1%.

Real estate equities were among the leaders today with the Equity REIT Index advancing 1.2% with 17-of-18 property sectors in positive territory while the Mortgage REIT Index gained 0.6%. The lackluster week of economic data continued this morning with a weaker-than-expected reading on the Conference Board's Leading Economic Index, which fell for an eighth straight month in October. Existing Home Sales declined for a ninth-straight month in October, dipping 5.9% from the prior month to a seasonally adjusted annual rate of 4.43 million.

Supply levels remain near historically low levels, however, helping to buoy home values amid pressure from higher rates. Income Builder Daily Recap U.S. equity markets rebounded Friday - but still ended the week with modest declines - as investors assessed hawkish Federal Reserve commentary and lackluster economic data including a ninth-straight monthly decline in home sales. Rebounding from a two-day decline, the S&P 500 advanced 0.5% today - trimming its weekly decline to 0.6% - while the tech-heavy Nasdaq 100 finished flat today to end the week lower by 1.1%.

The 10-Year Treasury Yield climbed 4 basis points to close the week at 3.82% - essentially unchanged from the prior week while the 10-2 Yield Curve remained near its deepest inversion since 1982. Real estate equities were among the leaders today with the Equity REIT Index advancing 1.2% with 17-of-18 property sectors in positive territory while the Mortgage REIT Index gained 0.6%. The lackluster week of economic data ...