Executive Mosaic’s GovCon Index increased slightly, staying positive at $5,492.48 (+0.01%) to start a new week. Wall Street’s top indexes rallied, with the Dow Jones Industrial Average (+0.65%) gaining 273.17 points. The S&P 500 (+0.27%) and Nasdaq Composite (+0.26%) rose ahead of earnings presentations by tech titans.
Most oil and gas stocks declined following Monday’s 6% drop in crude oil prices. However, declining fuel costs are tailwinds for the travel industry. Cruise operator Carnival (NYSE: CCL) climbed 4.83%, while American Airlines (Nasdaq: AAL) added 3.42%. Lithium producer Albemarle (NYSE: ALB) led S&P 500 gainers with +4.95%.
The GovCon Index tilted towards positive, aided by 23 advancers. ICF International (Nasdaq: ICFI), Fluor Corporation (NYSE: FLR), and Booz Allen Hamilton (NYSE: BAH) outperformed, and all three stocks gained more than 2.2%. Boeing (NYSE: BA) topped seven losers, sliding 2.79% to $150.69.
ICFI extended its three-day winning streak and has gained 20.13% in the last three months. The global consulting and technology services provider will present its Q3 2024 results at month-end. Booz Allen Hamilton popped 2.24%, following last Friday’s +9.23% breakout.
Boeing tanked after launching an $18 billion share sale to address the liquidity crunch and avert a credit rating downgrade. According to a Bloomberg News report, the plane maker has offered to sell 90 million common shares and about $5 billion of depositary shares. The Anderson Economic Group estimates $9.66 billion in losses in 2024 due to the union strike.
The US Army awarded Sikorsky, a Lockheed Martin (NYSE: LMT) company, a $1.24 billion modification to a contract for the UH-60M aircraft. Lockheed Martin Rotary and Mission Systems, another LMT business, obtained a $21.1 million cost-plus-incentive-fee modification to a previously awarded contract with the US Navy. to exercise options for in-service AEGIS combat system baseline sustainment.
Earnings Season in Full Gear
The earnings calendar this week is heavy. Around 1,750 S&P 500 companies are on tap to present their latest quarterly results, including five of Magnificent Seven members. Inflation and labor-related reports due later in the week are the personal consumption expenditures price index, core PCE, and US employment.
