Executive Mosaic’s GovCon Index declined before Thanksgiving Day but rose 0.50% to $5,203.60 Friday. Wall Street’s major indexes also retreated mid-week, then recovered after the break. The Nasdaq Composite climbed +0.83%, while the S&P 500 (+0.56%) and the Dow Jones Industrial Average finished at new all-time highs.
Magnificent Seven stocks advanced, except Google parent Alphabet (Nasdaq: GOOGL). Super Micro Computer (Nasdaq: SMCI) avoided delisting from the tech-heavy Nasdaq exchange, although it was among the worst performers with -6.93%. Nov. 29, Black Friday, also marked the start of the Christmas season.
Strong support
The GovCon Index had strong support to end the month as 25 of 30 stocks closed in positive territory. Maximus (NYSE: MMS) led gainers with +2.76, and four other constituents, including Boeing (NYSE: BA), added 1.4% or more. BAE Systems topped the losing bunch with -4.22%.
Bank of America (NYSE: BAC) analysts downgraded their rating for BAE Systems from neutral to underperform or sell equivalent, citing a potential cut in contracts of the British defense equipment manufacture with the US government under the new administration.
Lockheed Martin (NYSE: LMT) is on a two-day winning streak following an announced contract on Wednesday. The Missile Defense Agency awarded Lockheed Martin Rotary and Mission Systems a $579 million contract modification under Foreign Military Sales Case JA-P-NCO with the Japan Ministry of Defense supporting the Aegis System Equipped Vessel.
Labor market and consumer confidence
Economists predict that the unemployment rate last month would be higher than in Oct., although there would be more new jobs during the month. On Wednesday, the Labor Department reported 213,000 jobless claims for the week ending Nov. 23, down from the 13-week 226,200 moving average.
Meanwhile, consumer confidence improved in Nov. following the decisive results of the US presidential elections. The Conference Board’s Consumer Confidence Index increased to 111.7 from 109.6 in the prior month. It was also the highest level since July 2023.
“November’s increase was mainly driven by more positive consumer assessments of the present situation, particularly regarding the labor market,” said Dana M. Peterson, the Conference Board’s chief economist.
Market Summary
| Index | Price | Net Change | % Change |
|---|---|---|---|
| GovCon Index Daily Average | 5,203.60 | 25.97 | 0.50% |
| Dow Jones Industrial Average | 44,910.65 | 188.59 | 0.42% |
| S&P 500 | 6,032.38 | 33.64 | 0.56% |
| NASDAQ | 19,218.17 | 157.69 | 0.83% |
Top 5 GovCon Index Daily Percentage Performers
| Symbol | Price | Net Change | % Change |
|---|---|---|---|
| MMS | 74.5 | 2.00 | 2.76% |
| BA | 155.44 | 3.04 | 1.99% |
| AVAV | 194.5 | 3.63 | 1.90% |
| FLR | 56.13 | 0.88 | 1.59% |
| PLTR | 67.08 | 1.03 | 1.56% |
Top 5 GovCon Index Daily Net Performers
| Symbol | Price | Net Change | % Change |
|---|---|---|---|
| LMT | 529.41 | 3.66 | 0.70% |
| AVAV | 194.5 | 3.63 | 1.90% |
| HON | 232.93 | 3.29 | 1.43% |
| BA | 155.44 | 3.04 | 1.99% |
| CW | 373.63 | 2.26 | 0.61% |
Top 5 GovCon Index Daily Percentage Decliners
| Symbol | Price | Net Change | % Change |
|---|---|---|---|
| BAESY | 62.44 | -2.75 | -4.22% |
| HII | 197.92 | -1.45 | -0.73% |
| KBR | 60.83 | -0.35 | -0.57% |
| GIB | 112.42 | -0.17 | -0.15% |
| CACI | 459.88 | -0.41 | -0.09% |
