Weekly Outlook: No Deal, No Problem
U.S. equity markets continued their seemingly relentless rally this week despite a stalemate in stimulus negotiations as an encouraging slate of employment data quelled concerns about an ebbing recovery.
Gaining for the fifth week out of the past six, the S&P 500 rose by 2.5% this week to climb back within 2% of all-time record-highs following a 50% rebound.
Amid the busiest week of real estate earning season, Equity REITs finished higher by 1.2% with 12 of 18 property sectors in positive territory while Mortgage REITs gained 2.1%.
While less eventful than last quarter, REIT earnings season has seen its share of twists and turns. Only two additional REITs reduced dividends in Q2 after nearly 60 slashed distributions last quarter.
Rent collection continues to trend higher across the REIT sector. Residential real estate equities led the way after strong earnings and positive commentary on the state of the U.S. housing market from Zillow.