Zoom Boom | Builders Rally | Office Under Pressure

September 1, 2020 | Hoya Capital

Zoom Boom | Builders Rally | Office Under Pressure Daily Recap Sep 1 Written By Daily Recap U.S. equity markets finished higher Tuesday as the flow of better-than-expected economic data continued with solid manufacturing data ahead of three days of closely-watched employment data. Following declines of 0.2% yesterday, the S&P 500 finished higher by 0.8% today while the Dow Jones Industrial Average gained 216 points following yesterday's 224 point-decline. Coming off declines of 1.0% yesterday, the Equity REIT ETF (VNQ) finished fractionally higher today with 11 of 18 property sectors in positive territory.

Mortgage REITs gained 0.7%. Work-from-home technology company Zoom (ZM) surged more than 40% today after reporting earnings results. We discuss how the increased adoption of remote working will impact commercial real estate. Perhaps some good news for commercial real estate landlords: nonresidential construction spending has pulled back sharply in 2020 since the start of the pandemic as developers. Residential spending, however, has bounced back sharply this year. U.S. equity markets finished higher Tuesday as the flow of better-than-expected economic data continued with solid manufacturing data ahead of three days of closely-watched employment data beginning with ADP data tomorrow morning.

Following declines of 0.2% yesterday, the S&P 500 ETF ( SPY ) finished higher by 0.8% today while the Dow Jones Industrial Average ( DJI ) gained 216 points following yesterday's 224 point-decline. The Nasdaq 100 ETF ( QQQ ) jumped another 1.4%. Coming off declines of 1.0% yesterday, the Equity REIT ETF ( VNQ ) finished fractionally higher today with 11 of 18 property sectors in positive territory. The Mortgage REIT ETF ( REM ) finished higher by 0.7% today after declining by 1.5% on Monday.

Work-from-home technology company Zoom ( ZM ) surged more than 40% today after reporting earnings results. We analyzed the increased adoption of remote work and the implications for the commercial real estate sector today in Office REITs: Work-From-Home Reckoning. 8 of ...