Executive Mosaic’s GovCon Index slumped for the third straight day, sliding 0.55% to $4,584.12. In contrast, Wall Street’s major indexes responded positively to the better-than-expected GDP growth. The S&P 500 (+0.53%) registered a fifth all-time high, while the Dow Jones Industrial Average (+0.64%) and Nasdaq Composite (+0.18%) posted gains.
IBM (NYSE: IBM) surged 9.49%, and four of five S&P 500 stocks advanced on Thursday. After finishing slightly above the threshold, Microsoft (Nasdaq: MSFT) officially joined Apple (Nasdaq: AAPL) in the $3 trillion club.
Advancers outnumbered decliners on the GovCon Index, although top-weighted constituents Northrop Grumman (NYSE: NOC) and Boeing (NYSE: BA) pulled the index down with their 6.33% and 5.72% sharp drops. The Carlyle Group (NYSE: CG) rose 3.1% to lead the gainers.
Northrop Grumman had a record $84.2 backlog at the end of 2023 but reported a $585 net loss in the fourth quarter compared to the $2 billion net income in Q4 2022. It was the defense contractor’s first profit decline in four quarters. For Boeing, the Federal Aviation Association will not approve any request to expand production of the 737 Max aircraft until it resolves quality control issues.
The real GDP rose to an annual rate of 3.3% in the fourth quarter of 2023, as shown by the Bureau of Economics Analysis’s “advance” estimate report. On the labor market, initial jobless claims increased by 25,000 from the previous week to 214,000. Despite the progress on inflation, some market analysts think rate cuts could begin in May 2024, not March.
Market Summary
| INDEX | PRICE | NET CHANGE | % CHANGE |
|---|---|---|---|
| GovCon Index Daily Total | 4,584.12 | -25.05 | -0.55% |
| Dow Jones Industrial Average | 38,049.13 | 242.74 | 0.64% |
| S&P 500 | 4,894.16 | 25.61 | 0.53% |
| NASDAQ | 15,510.50 | 28.58 | 0.18% |
Top 5 GovCon Index Daily Percentage Performers
| SYMBOL | PRICE | NET CHANGE | % CHANGE |
|---|---|---|---|
| CG | 40.96 | 1.23 | 3.10% |
| GD | 265.86 | 4.68 | 1.79% |
| RTX | 90.94 | 1.45 | 1.62% |
| ICFI | 138.07 | 1.93 | 1.42% |
| HON | 202.56 | 2.69 | 1.35% |
Top 5 GovCon Index Daily Net Performers
| SYMBOL | PRICE | NET CHANGE | % CHANGE |
|---|---|---|---|
| GD | 265.86 | 4.68 | 1.79% |
| ACN | 371.94 | 3.04 | 0.82% |
| HON | 202.56 | 2.69 | 1.35% |
| ICFI | 138.07 | 1.93 | 1.42% |
| J | 135.71 | 1.62 | 1.21% |
Top 5 GovCon Index Daily Percentage Decliners
| SYMBOL | PRICE | NET CHANGE | % CHANGE |
|---|---|---|---|
| NOC | 434.55 | -29.37 | -6.33% |
| BA | 201.88 | -12.25 | -5.72% |
| PLTR | 16.46 | -0.29 | -1.73% |
| CACI | 334.14 | -5.85 | -1.72% |
| MRCY | 30.92 | -0.23 | -0.74% |
