Inflation Cools • REIT Dividend Hike • Russia Tensions

November 15, 2022 | Hoya Capital

Inflation Cools • REIT Dividend Hike • Russia Tensions Real Estate Daily Recap Nov 15 Written By U.S. equity markets rebounded Tuesday in a choppy session as cooler-than-expected inflation data and strong earnings results from Walmart and Home Depot offset renewed geopolitical concerns in the Russia-Ukraine war. Following declines of 0.9% on Monday, the S&P 500 rebounded 1.6% today while the tech-heavy Nasdaq 100 advanced 1.3%. Real estate equities were among the stronger performers today as improving inflation data sparked a bid for bonds and yield-sensitive asset classes.

Equity and Mortgage REITs both advanced 1.1% today. Good news on the inflation front continued today. Notably, over the past four months, the Headline PPI has averaged 0.0% compared to a 12% annualized rate in the four previous months. Another day, another REIT dividend hike. Net lease REIT Four Corners Property Trust (FCPT) hiked its quarterly dividend by 2.3% to $0.34/share, becoming the 120th REIT to boost its dividend this year.

Income Builder Daily Recap U.S. equity markets rebounded Tuesday in a choppy session as cooler-than-expected inflation data and strong earnings results from Walmart and Home Depot offset renewed geopolitical concerns in the Russia-Ukraine war. Following declines of 0.9% on Monday, the S&P 500 rebounded 1.6% today while the tech-heavy Nasdaq 100 advanced 1.3%. Real estate equities were among the stronger performers today as improving inflation data sparked a bid for bonds and yield-sensitive asset classes.

The Equity REIT Index finished higher by 1.1% today with 16-of-18 property sectors in positive territory while the Mortgage REIT Index advanced 1.1%. Homebuilders and the broader Hoya Capital Housing Index also delivered strong gains following upbeat housing market commentary from Home Depot. Cooler-than-expected PPI inflation data sparked a bid across bond markets with the 10-Year Treasury Yield dipping 7 basis points to close at 3.80% today while the U.S.

Dollar resumed its recent slide as well. Crude Oil prices, meanwhile, jumped 2% as geopolitical tensions ...