REITs Rally Despite October Surprise
U.S. equity markets snapped a four-week losing streak on a frenetic week of economic data and political developments that culminated with the hospitalization of the President of the United States.
Throwing yet another curveball into the home stretch of a highly contentious U.S. election season, the shocking developments on Friday overshadowed a generally strong week of economic data.
Beginning the week on the cusp of "correction territory," the S&P 500 gained 1.6% this week. The Small-Cap and Mid-Cap indexes, however, surged nearly 5% while tech stocks lagged.
Real estate equities and other economically-sensitive equity sectors were also among the leaders this week, seemingly unfazed by the October surprise. REITs rallied more than 5%, the best week since July.
Homebuilders also surged following another stellar slate of housing data, including record-setting Pending Home Sales and metrics showing robust mortgage demand for home purchases as the housing industry continues to lead the recovery.
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Additional Disclosure: It is not possible to invest directly in an index. Index performance cited in this commentary does not reflect the performance of any fund or other account managed or serviced by Hoya Capital Real Estate. Data quoted represents past performance, which is no guarantee of future results. Information presented is believed to be factual and up-to-date, but we do not guarantee its accuracy.