Executive Mosaic’s GovCon Index ticked lower to $4,870.19 (-0.33%) and has lost 1.9% since the start of April. Wall Street’s major indexes were under pressure due to rate cuts uncertainty. The Dow Jones Industrial Average (-0.11%) dropped to a two-week low, while the S&P 500 (+0.11%) and Nasdaq Composite (+0.23%) posted moderate gains.
On the private sector labor market, the March ADP National Employment report showed an increase of 184,000 jobs. Moreover, annual pay rose 5.1% year-over-year. “Inflation has been cooling, but our data shows pay is heating up in both goods and services,” said Nela Richardson, ADP’s chief economist.
Richardson adds that job increases were highest in the construction, financial services, and manufacturing sectors. The Labor Department’s February jobs opening report, released Tuesday, reflected a strong economy. There were 8.76 million openings compared to 8.75 million in January.
At closing mid-week, 13 stocks on the GovCon Index were in the red. Mercury Systems (Nasdaq: MRCY) and Fluor Corporation (NYSE: FLR) gained more than 2% to lead 17 advancers. Northrop Grumman (NYSE: NOC) and Boeing (NYSE: BA) were the top decliners.
The U.S. Navy awarded Mercury Mission Systems, a division of Mercury, a $17.75 million firm-fixed-price modification to a previously awarded contract. This modification exercises an option for producing and delivering 48 1553 data transfer units and 121 high-definition video recorders in support of F/A-18C-F and EA-18G aircraft retrofit efforts.
Boeing’s year-to-date loss is now 29.06% after falling 1.66%. Safety issues continue to plague the airplane manufacturer and its stock. According to its CFO, Brian West, management is taking comprehensive steps to strengthen quality and build confidence. Boeing will release its Q1 2024 financial results on April 24.
Federal Reserve Chairman Jerome Powell was a guest speaker at Stanford University on Wednesday. He said it would take policymakers a while to evaluate the current state of inflation but added that rate cuts are likely to be appropriate at some point this year.
Market Summary
| INDEX | PRICE | NET CHANGE | % CHANGE |
|---|---|---|---|
| GovCon Index Daily Average | 4,870.19 | -16.15 | -0.33% |
| Dow Jones Industrial Average | 39,127.14 | -43.10 | -0.11% |
| S&P 500 | 5,211.49 | 5.68 | 0.11% |
| NASDAQ | 16,277.46 | 37.01 | 0.23% |
Top 5 GovCon Index Daily Percentage Performers
| SYMBOL | PRICE | NET CHANGE | % CHANGE |
|---|---|---|---|
| MRCY | 28.73 | 0.62 | 2.21% |
| FLR | 42.34 | 0.84 | 2.02% |
| KBR | 63.79 | 0.76 | 1.21% |
| CG | 46.87 | 0.51 | 1.10% |
| TTEK | 190.75 | 1.78 | 0.94% |
Top 5 GovCon Index Daily Net Performers
| SYMBOL | PRICE | NET CHANGE | % CHANGE |
|---|---|---|---|
| CW | 257.29 | 2.30 | 0.90% |
| TTEK | 190.75 | 1.78 | 0.94% |
| GD | 291.69 | 1.15 | 0.40% |
| AVAV | 146.9 | 1.05 | 0.72% |
| SAIC | 129.43 | 1.04 | 0.81% |
Top 5 GovCon Index Daily Percentage Decliners
| SYMBOL | PRICE | NET CHANGE | % CHANGE |
|---|---|---|---|
| NOC | 457.01 | -9.35 | -2.00% |
| BA | 184.92 | -3.12 | -1.66% |
| ACN | 332.28 | -4.18 | -1.24% |
| LMT | 447.9 | -5.34 | -1.18% |
| HON | 197.97 | -2.26 | -1.13% |
