Alex Pettee, CFA
REITs Surge On Stunning Jobs Rebound [Daily Recap]
U.S. equity markets surged on Friday, continuing a relentless "reopening rally" after the BLS jobs report showed a stunning gain in employment in May as the post-pandemic recovery takes hold.
Finishing with gains of nearly 5% on the week, the S&P 500 added another 2.6% today while the Dow Jones jumped 839 points to cap off a five-day winning streak.
Surging nearly 10% on the week, the broad-based Equity REIT ETFs jumped another 4.3% today with all 18 property sectors in positive territory while Mortgage REITs rose 4.9%.
The U.S. economy unexpectedly added 2.5 million jobs in May, the single-largest month of job growth ever, following two months of devastating job losses amid the coronavirus shutdowns.
As we've discussed for several weeks, signs of a V-shaped recovery in the U.S. housing sector, along with near-100% residential rent collection, have been foretelling a sooner-than-expected economic rebound.