Vaccine Rotation | Homebuilders Surge | REIT Earnings Wrap

November 10, 2020 | Hoya Capital

Vaccine Rotation | Homebuilders Surge | REIT Earnings Wrap Daily Recap Nov 10 Written By U.S. equity markets were mixed Tuesday as investors continued to rotate out of the "stay-at-home" winners and reallocate towards COVID-sensitive sectors following yesterday's positive vaccine news from Pfizer (PFE). Following gains of 1.3% yesterday, the S&P 500 finished lower by 0.1% today but the Dow Jones Industrial Average gained another 262 points following yesterday's 834 point-surge.

Real estate equities were again among the leaders today as the Equity REIT ETFs gained 1.5% with 13 of 18 property sectors in positive territory while Mortgage REITs jumped 6%. The clock is ticking for a vaccine rollout, as reported coronavirus cases continue to rise in the United States and globally, and some investors are concerned that the recent European-style lockdowns may be coming to U.S. cities over the next month.

Mall REITs were flat today after reports from Simon Property (SPG) and Taubman Centers (TCO). Apartment REITs added to their roughly 25% gains over the last two weeks while Homebuilders surged on strong earnings from DR Horton (DHI). Real Estate Daily Recap U.S. equity markets were mixed Tuesday as investors continued to rotate out of the "stay-at-home" winners and reallocate towards COVID-sensitive sectors following yesterday's positive vaccine news from Pfizer ( PFE ).

Following gains of 1.3% yesterday, the S&P 500 ETF ( SPY ) finished lower by 0.1% today but the Dow Jones Industrial Average ( DIA ) gained another 262 points following yesterday's 834 point-surge. Technology stocks remained under pressure today as the Nasdaq 100 ( QQQ ) dipped another 1.7% today. Real estate equities were again among the leaders today as the broad-based Equity REIT ETF ( VNQ ) gained 1.5% with 13 of 18 property sectors in positive territory while the Mortgage REIT ETF ( REM ) jumped nearly 5%.

"Sector rotation" has been the theme over the past two days following Pfizer's ( ...