Red Hot Inflation • Yield Curve Inversion • Earnings Ahead

July 13, 2022 | Hoya Capital

Red Hot Inflation • Yield Curve Inversion • Earnings Ahead Real Estate Daily Recap Jul 13 Written By U.S. equity markets declined for a third straight session Wednesday on data showing that inflation reached another four-decade high in June as surging energy costs and rents drove an unexpected acceleration. Extending its week-to-date declines to 2.5%, the S&P 500 declined 0.3% today to push its drawdown to 21% from its recent highs while the Mid-Cap 400 and Small-Cap 600 posted similar declines.

Real estate equities were mixed today as gains from residential REITs was offset by declines from retail REITs. The Equity REIT Index finished lower by 0.5% today. Peak Inflation? Not Yet. Consumer prices rose at the fastest pace in more than 40 years in June - and significantly above analysts' estimates - as cost pressures continue to be far less "transitory" than economics and public officials projected. Hannon Armstrong (HASI) bounced back 3% today following a nearly 20% dip on Tuesday following the publication of a short report from Muddy Waters.

Analysts at Cowen and Oppenheimer defended the firm and its management team and recommended buying the shares on the weakness. Income Builder Daily Recap U.S. equity markets declined for a third straight session Wednesday on data showing that inflation reached another four-decade high in June as surging energy costs and rents drove an unexpected acceleration. Extending its week-to-date declines to 2.5%, the S&P 500 declined 0.3% today to push its drawdown to 21% from its recent highs while the Mid-Cap 400 and Small-Cap 600 posted similar declines today.

Real estate equities were mixed today as gains from residential REITs were offset by declines from retail REITs. The Equity REIT Index finished lower by 0.5% today with 8 of 18 REIT sectors in positive territory while the Mortgage REIT Index rallied 1.3%. Despite the hotter-than-expected inflation data and expectations of an even-more-aggressive path of Fed rate hikes over the ...