Executive Mosaic’s GovCon Index is on the cusp of a losing week, declining 0.39% to close at $132.99. All three major indexes moved in a similar fashion as investors await the critical labor market data on Friday. Economists and market analysts believe the nonfarm payrolls report will determine the Federal Reserve’s next move on interest rates.
The boost from ADP’s payroll data on mid-week was short-lived as the Nasdaq Composite (-0.12%) finished slightly lower, while the Dow Jones Industrial Average was nearly flat (-0.03%). However, the benchmark S&P 500 Index (-0.13%) could extend its losing streak to five consecutive weeks. Bonds traded sideways but remained high, 4.714% for the ten-year Treasury yield.
Globalstar Inc. (NYSE: GSAT) was the top GovCon stock gainer, rising 2.27% to $1.35. ICF (Nasdaq: ICFI), the second-best performer, advanced 2.23% to boost its market-beating year-to-date return to 25.32%. Nearly half of GCI constituents (13) ended in positive territory.
L3Harris Technologies (NYSE: LHX) was the worst performer for two consecutive trading days, losing 1.53%. Honeywell International (Nasdaq: HON) and the Carlyle Group (Nasdaq: CG) round up the top five decliners for the day.
The weakening or softening of the labor market could prompt the Fed to hold interest rate hikes and stop the bond market’s rally. Otherwise, the rotation from stocks to bonds will continue.
Market Summary
| Index | Price | Net Change | % Change |
|---|---|---|---|
| GovCon Index Daily Average | 132.99 | -0.47 | -0.36% |
| Dow Jones Industrial Average | 33,119.57 | -9.98 | -0.03% |
| S&P 500 | 4,258.19 | -5.56 | -0.13% |
| NASDAQ | 13,219.83 | -16.18 | -0.12% |
Top 5 GovCon Index Daily Percentage Performers
| Symbol | Price | Net Change | % Change |
|---|---|---|---|
| GSAT | 1.35 | 0.03 | 2.27% |
| ICFI | 123.69 | 2.70 | 2.23% |
| TTEK | 155.91 | 2.16 | 1.40% |
| MMS | 74.2 | 0.87 | 1.19% |
| BAH | 116.71 | 0.88 | 0.76% |
Top 5 GovCon Index Daily Net Performers
| Symbol | Price | Net Change | % Change |
|---|---|---|---|
| ICFI | 123.69 | 2.70 | 2.23% |
| TTEK | 155.91 | 2.16 | 1.40% |
| BAH | 116.71 | 0.88 | 0.76% |
| MMS | 74.2 | 0.87 | 1.19% |
| GIB | 98.32 | 0.33 | 0.34% |
Top 5 GovCon Index Daily Percentage Decliners
| Symbol | Price | Net Change | % Change |
|---|---|---|---|
| LHX | 161.28 | -2.50 | -1.53% |
| HON | 180.02 | -2.48 | -1.36% |
| CG | 29.57 | -0.39 | -1.30% |
| GD | 216.75 | -2.58 | -1.18% |
| FLR | 35.05 | -0.41 | -1.16% |
