Executive Mosaic’s GovCon Index closed in the red, sliding 0.32% to $4,938.56. On Wall Street, the benchmark S&P 500 (+0.27%) and tech-heavy Nasdaq Composite (+0.88%) finished with new record highs. The Dow Jones Industrial Average (-0.31%) lost steam and shed 120 points.
Apple (Nasdaq: AAPL) rose 7.26% to mark its best single-day performance since Nov 2022. The demo of Apple Intelligence and the unveiling of iPhone’s on-device intelligence system lifted the stock. Paramount Global (Nasdaq: PARA) tanked 7.85% on news that the merger talks with Skydance Media fizzled out.
The GovCon Index failed to sustain Monday’s mild gain. Instead, decliners outnumbered gainers. AeroVironment (Nasdaq: AVAV) and Palantir Technologies (NYSE: PLTR) gained 3.15% and 3.11%, respectively, to lead nine advancers. Boeing (NYSE: BA) was the worst performer on the GCI and the blue-chip Dow Jones, with its 2.43% loss.
AeroVironment, GCI’s top-performing stock thus far in 2024 (+67.68% year-to-date), will provide stakeholders with an overview of its portfolio on June 27. The company will also examine long-term goals and overall business health. As of this writing, AI stock Palantir Technologies is up 38.91% year-to-date.
Another gainer, Accenture (NYSE: ACN), announced completing the acquisition of SOKO, a Brazil-based creative agency. The multinational professional services company promoted Angie Park, its Business and Commercial Finance Division head, to CFO effective Dec 1. Accenture lowered its 2024 revenue growth forecast from 2% to 5% to 1% to 3%.
In addition to the more than 50% drop in aircraft deliveries, Boeing reported Tuesday that it received only one order of four jets last May. Its chief rival, Airbus, received orders for 37 and delivered 53 planes compared to Boeing’s 24.
Meanwhile, the U.S. Navy awarded Boeing an $81 million modification to a cost-plus-incentive-fee order against a previously issued basic ordering agreement. The modification relates to the configuration of the Harpoon Coastal Defense System, and the Harpoon weapon station test and production equipment in support of the HCDS for Taiwan.
Also, on Tuesday, the U.S. Federal Reserve’s two-day policy meeting has begun. Most market analysts expect interest rates to remain at the current range of 5.25%-5.5%. Fed Chairman Jerome Powell will announce the rate decision in a press conference Wednesday and might mention the timing of the initial rate cut, whether in July, September, November or December.
