Transfer Of Power • REITs Lead • Housing Stays Hot

January 20, 2021 | Hoya Capital

Transfer Of Power • REITs Lead • Housing Stays Hot Daily Recap Jan 20 Written By Summary U.S. equity markets climbed to record-highs Wednesday on the first-day of the Biden Administration amid a strong start to corporate earnings season while housing data continues to show robust strength. Following gains of 0.8% yesterday, the S&P 500 finished higher by 1.4% today while the Dow Jones Industrial Average gained 258 points and the tech-heavy Nasdaq 100 jumped 2.3%.

Real estate equities led the gains today as the broad-based Equity REIT ETF finished higher by 1.9% today with 17 of 19 property sectors in positive territory. Homebuilders led the way today on solid homebuilder sentiment and mortgage market data and on predictions that the Biden Administration's policies will be particularly supportive for homeownership and new home construction. Prison REIT Geo Group (GEO) dipped after the federal government decided not to renew a lease on a correctional facility in Pennsylvania, underscoring a highly uncertain future for private prisons.

Real Estate Daily Recap U.S. equity markets climbed to record-highs Wednesday on the first day of the incoming Biden Administration amid a strong start to corporate earnings season while housing market data continues to show robust strength. Following gains of 0.8% yesterday, the S&P 500 ETF ( SPY ) finished higher by 1.4% today while the Dow Jones Industrial Average ( DIA ) gained 258 points and the tech-heavy Nasdaq 100 ( QQQ ) jumped 2.3%.

Real estate equities led the gains today as the broad-based Equity REIT ETF ( VNQ ) finished higher by 1.9% today with 17 of 19 property sectors in positive territory while the Mortgage REIT ETF ( REM ) finished higher by 1.2%. Ten of the eleven GICS equity sectors finished higher on the day, led to the upside by the Communications ( XLC ) and Technology ( XLK ) sectors on a post-earnings surge from Netflix ( NFLX ).

Thus ...