S&P hits another record, but real estate stocks don’t follow suit

Nareit’s All REIT index fell on Monday less than 1%

TRD NATIONAL /
Oct.October 29, 2019 05:34 AM
(Credit: iStock)
(Credit: iStock)

The S&P 500 rallied to a record high on Monday — though real estate stocks didn’t exactly join the party.

Nareit’s All REITs index, a measure of real estate investment trusts, was down 0.53 percent. Equity REITs fell 0.6 percent, though mortgage REITs rose 0.38 percent. And the Real Estate Select Sector Index fell by 2 points by the end of the day.

Out of a mix of 28 real estate stocks tracked by The Real Deal, 15 posted gains and one stayed flat. The top performer was RE/MAX, whose stock was up almost 3 percent. The weakest was Lennar Corporation, which reported third-quarter net earnings of $513.4 million, up from $453.2 million year over year. Its stock was down almost 2.5 percent Monday.

The S&P 500 closed Monday at just over 3,039, up almost 17 points from Friday, buoyed in part by trade optimism, the prospect of another benchmark interest rate cut from the Federal Reserve this week and positive earnings calls. The index’s previous record was from late July.

“Of the S&P 500 companies that have reported over the last month, just 32 mention recession on their calls,” Sentieo’s Nick Mazing told CNBC.

Last month, the Federal Reserve slashed interest rates by 25 basis points, often widely viewed as a boost to real estate investors and a move that industry watchers anticipate will happen again when the central bank’s Federal Open Market Committee meets this week.


Related Articles

arrow_forward_ios
Interest rate drops spur loan requests from multifamily borrowers (Credit: iStock)

Multifamily owners rush to refinance their mortgages

Multifamily owners rush to refinance their mortgages
Best of TRD 2019 promo

Coming soon: The Real Deal’s Best of 2019

Coming soon: The Real Deal’s Best of 2019
2201 Rosecrans Ave in El Segundo

Continental snags $55M refi on El Segundo office portfolio

Continental snags $55M refi on El Segundo office portfolio
From left: Gavin Newsom and David Chiu (Credit: Getty Images and iStock)

Will rent control dent the multifamily market? Lenders, investors weigh in

Will rent control dent the multifamily market? Lenders, investors weigh in
East LA Community Corporation President Isela Gracian, CIT Bank President Robert Rubino and the two projects

East LA Community Corp. lands $55M in loans for affordable housing projects

East LA Community Corp. lands $55M in loans for affordable housing projects
Acres Capital CEO Mark Fogel with a rendering of project

Chateau Group scores $44M bridge loan to build Marriott-branded hotel in Arcadia

Chateau Group scores $44M bridge loan to build Marriott-branded hotel in Arcadia
Colony Capital's Thomas Barrack

Tom Barrack’s Colony Capital snags $1.7B refi on healthcare properties

Tom Barrack’s Colony Capital snags $1.7B refi on healthcare properties
Geoff Palmer and Orsini II

Geoff Palmer nabs $128M refinancing on DTLA resi complex

Geoff Palmer nabs $128M refinancing on DTLA resi complex
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...