REITs Unfazed By Tech Wreck
Updated: Sep 10, 2020
Tech wreck: The "unofficial end" of summer came with one final "splash" in its final days as volatility returned to U.S. equity markets following several months of relative tranquility.
Snapping a six-week winning streak and retreating from its mid-week record-high, the S&P 500 dipped 2.3% on the week while the tech-heavy Nasdaq pulled back more than 3%.
Real estate equities - particularly in the "shutdown-sensitive sectors" - were among the relative safe-havens this week amid the sell-off as 10 of the 18 property sectors finished in positive territory.
Unlike the volatility seen during the peak of the pandemic, the choppiness this week was purely an equity market phenomenon and came despite an encouraging slate of employment and housing market data.
U.S. economy recovered 1.4 million jobs in August, and the unemployment rate dipped to 8.4%, as the economic recovery has taken hold far faster than most economists had initially projected.