Executive Mosaic’s GovCon Index ended its five-day winning streak, sliding 0.19% to $5,095.82. The Nasdaq Composite (-2.77%) had its worst day due to the slump of microchip shares, while the S&P 500 (-1.39%) suffered a sharp drop. Only the Dow Jones Industrial Average (+0.59%) survived the selloff and posted a third straight record close.
The proposed U.S. restrictions or chip crackdown versus China triggered the pullback of tech stocks, including the Magnificent Seven. NVIDIA (Nasdaq: NVDA) and Meta Platforms (Nasdaq: META) sunk 6.62% and 5.68%, respectively. Dow Jones components United Health (NYSE: UNH) and Johnson & Johnson (NYSE: JNJ) lifted the blue-chip index.
On the GovCon Index, decliners outnumbered advancers. Defense stocks Lockheed Martin (NYSE: LMT) and RTX (NYSE: RTX) led the nine gainers. Parsons (NYSE: PSN) and Fluor (NYSE: FLR) were the worst performers from the losing bunch.
In a press release Wednesday, Lockheed Martin announced the delivery of the first of eight C-130J-30 Super Hercules tactical airlifters to the U.S. Air Force Reserve’s 910th Airlift Wing assigned to the Ohio Youngstown Air Reserve Station. The Government of Croatia also awarded Lockheed Martin a $500 million contract to supply eight UH-60M Black Hawk helicopters with spare parts and services.
Also, on mid-week, RTX’s Pratt & Whitney announced the establishment of a new Customer Service Center in Bengaluru as part of its India Capability Center. The facility will employ over 150 aerospace experts and engineers. RTX also named Troy Brunk, a 30-year aerospace and defense veteran, as the president of Collins Aerospace in place of retiring Stephen Timm.
ICF (Nasdaq: ICFI) secured a new agreement with Commonwealth Edison to support the launch and implementation of ComEd’s beneficial electrification programs in Illinois. The global consulting and technology services provider will work with Walker-Miller Energy Services in this project.
The rate-cut timetable still hangs in the balance while investors’ rotation from technology stocks is ongoing. However, on Wednesday, Federal Reserve Governor Christopher Wallen expressed optimism at a Fed event in Kansas City. “I do believe we are getting closer to the time when a cut in the policy rate is warranted,” he said.
Market Summary
| Index | Price | Net Change | % Change |
|---|---|---|---|
| GovCon Index Daily Average | 5,095.82 | -9.43 | -0.19% |
| Dow Jones Industrial Average | 41,198.08 | 243.60 | 0.59% |
| S&P 500 | 5,588.27 | -78.93 | -1.39% |
| NASDAQ | 17,996.92 | -512.42 | -2.77% |
Top 5 GovCon Index Daily Percentage Performers
| Symbol | Price | Net Change | % Change |
|---|---|---|---|
| LMT | 476.07 | 7.49 | 1.60% |
| RTX | 104.99 | 1.31 | 1.26% |
| NOC | 440.17 | 5.01 | 1.15% |
| ICFI | 139.63 | 1.17 | 0.84% |
| HON | 220.21 | 1.74 | 0.80% |
Top 5 GovCon Index Daily Net Performers
| Symbol | Price | Net Change | % Change |
|---|---|---|---|
| LMT | 476.07 | 7.49 | 1.60% |
| NOC | 440.17 | 5.01 | 1.15% |
| CACI | 446.53 | 3.38 | 0.76% |
| HON | 220.21 | 1.74 | 0.80% |
| RTX | 104.99 | 1.31 | 1.26% |
Top 5 GovCon Index Daily Percentage Decliners
| Symbol | Price | Net Change | % Change |
|---|---|---|---|
| PSN | 77.02 | -3.12 | -3.89% |
| FLR | 48.68 | -1.58 | -3.14% |
| TTEK | 200.94 | -5.73 | -2.77% |
| CG | 45.47 | -1.04 | -2.24% |
| AVAV | 165.93 | -3.62 | -2.14% |
