Powell Pop • Mall Earnings • REIT Dividend Hikes

February 7, 2023 | Hoya Capital

Powell Pop • Mall Earnings • REIT Dividend Hikes Real Estate Daily Recap Feb 7 Written By U.S. equity markets rebounded Tuesday after Fed Chair Powell maintained a decidedly less-hawkish tone in public remarks, easing concerns that blowout employment data would prompt a reversal. Snapping a two-day skid, the S&P 500 rebounded 1.3% today while the tech-heavy Nasdaq 100 rallied 0.8%. The Dow added 266 points. Real estate equities were mixed today as REIT earnings season kicked into gear.

Equity REITs declined 0.3% but Mortgage REITs gained 1.2% and Homebuilders rallied 1.5%. Apartment REIT UDR (UDR) rallied more than 3% after reporting better-than-expected results and hiking its dividend, noting that its FFO climbed 15.9% for full-year 2022 and projected solid FFO growth of 7.1%. Mall REIT Simon Property (SPG) declined 2% despite reporting decent results highlighted by a recovery in occupancy rates to levels that exceeded 2019-levels. Macerich (MAC) dipped 3% after reporting relatively weaker results with occupancy rates still 100 basis points below 2019-levels.

Income Builder Daily Recap U.S. equity markets rebounded Tuesday after Fed Chair Powell maintained a decidedly less-hawkish tone in public remarks, easing concerns that blowout employment data would prompt a reversal. Snapping a two-day skid, the S&P 500 rebounded 1.3% today while the tech-heavy Nasdaq 100 rallied 0.8%. The Dow added 266 points. Real estate equities were mixed today as REIT earnings season kicked into gear. The Equity REIT Index declined 0.3% today with 6-of-18 property sectors in positive territory while the Mortgage REIT Index gained 1.2% and Homebuilders rallied 1.5%.

After two days of sharp selling pressure across fixed-income markets, the 10-Year Treasury Yield stabilized today after Federal Reserve Chair Powell passed on an opportunity to project a more hawkish tone in the wake of the robust BLS employment report last Friday and instead reiterated focused his commentary on data points pointing towards disinflation. Commodities prices rebounded today with Crude Oil rallying 3.5% while ...