Executive Mosaic’s GovCon Index ended positive for the second straight day, settling higher at $5,293.78 (+0.47%). It was a strong week overall for Wall Street due to the jumbo rate cut, although the Nasdaq Composite (-0.36%) and S&P 500 (-0.19%) closed lower. The Dow Jones Industrial Average (+0.09%) hit a new record high despite a tiny gain.
Market was calm, especially the tech-heavy Nasdaq Composite. However, Intel (Nasdaq: INTC) rose 3.31% on news of a takeover interest by Qualcomm (Nasdaq: QCOM). FedEx (NYSE: FDX) tanked 15.23% after reporting a 24% year-over-year drop in Q1 fiscal 2025 operating income and lower earnings outlook.
On the GovCon Index, gainers edged decliners, 16 to 14. Curtis-Wright (NYSE: CW) was the standout performer with +3.31%. The Carlyle Group (Nasdaq: CG) and BAE Systems led the losing bunch.
Curtiss-Wright announced a $100 million expansion of its 2024 share repurchase program, raising its annual share repurchases in 2024 to $150 million. According to its Chair and CEO, Lynn Bamford, the expanded share repurchase authorization reflects the board of directors’ continued confidence in Curtiss-Wright’s ability to deliver profitable growth and strong free cash flow generation into the future.
Jason Thomas, head of global research and investment strategy at Carlyle, urged investors to prepare for a potential resurgence of inflation that might force policymakers to keep interest rates at 4.5%. The U.S. Army awarded BAE Systems Land and Armaments a $184.3 million modification to contract for Armored Multi-Purpose Vehicles.
The U.S. Navy awarded Collins Aerospace, an RTX (NYSE: RTX) business, a $279.6 million modification to a firm-fixed-price, indefinite-delivery/indefinite-quantity contract. This modification exercises an option to procure up to 8,493 AN/ARC-210 radios and ancillary equipment for installation in strategic and tactical airborne, seaborne and land-based platforms.
Also, on Friday, Fed governor Christopher Waller told CNBC the central bank still has more room to lower interest rate over the next six to 12 months. However, he added that the pace would depend on incoming data such as inflation and the jobs market.
Market Summary
| Index | Price | Net Change | % Change |
|---|---|---|---|
| GovCon Index Daily Average | 5,293.78 | 25.09 | 0.47% |
| Dow Jones Industrial Average | 42,063.36 | 38.17 | 0.09% |
| S&P 500 | 5,702.55 | -11.09 | -0.19% |
| NASDAQ | 17,948.32 | -65.66 | -0.36% |
Top 5 GovCon Index Daily Percentage Performers
| Symbol | Price | Net Change | % Change |
|---|---|---|---|
| CW | 328.5 | 10.52 | 3.31% |
| AVAV | 182.76 | 3.07 | 1.71% |
| LHX | 233.21 | 2.75 | 1.19% |
| LMT | 571.92 | 6.74 | 1.19% |
| BAH | 157.89 | 1.73 | 1.11% |
Top 5 GovCon Index Daily Net Performers
| Symbol | Price | Net Change | % Change |
|---|---|---|---|
| CW | 328.5 | 10.52 | 3.31% |
| LMT | 571.92 | 6.74 | 1.19% |
| AVAV | 182.76 | 3.07 | 1.71% |
| NOC | 525.13 | 2.87 | 0.55% |
| LHX | 233.21 | 2.75 | 1.19% |
Top 5 GovCon Index Daily Percentage Decliners
| Symbol | Price | Net Change | % Change |
|---|---|---|---|
| CG | 43.68 | -0.83 | -1.86% |
| BAESY | 67.4 | -1.20 | -1.75% |
| TTEK | 46.11 | -0.58 | -1.24% |
| TXT | 87.91 | -1.03 | -1.16% |
| GIB | 112.76 | -1.07 | -0.94% |
