Executive Mosaic’s GovCon Index edged 0.80% higher to $143.55 along with the Dow Jones Industrial Average (+0.21%) to start the week. However, the S&P 500 (-0.02%) and the Nasdaq Composite fell slightly due to Moody’s downgrading of U.S. credit from stable to negative.
The ten-year and 30-year Treasury notes rose to 4.644% and 4.756% ahead of the inflation data coming on Tuesday. Economists polled by Reuters expect consumer prices to be higher in October but slower than in September. Ian Lyngen, the head of U.S. rates strategy at BMO Capital Markets, said, “Any upside surprise on the inflation front would, at a minimum, push rate cut forecasts further into 2024.”
The day’s market movers include Tesla (Nasdaq: TSLA) and GovCon Index constituent Boeing (NYSE: BA). Elon Musk’s electric carmaker gained 4.2% after it announced that U.K. gas station operator EG Group agreed to buy the company’s superchargers. A potential monster tax break for electric vehicle (EV) manufacturers in India also lifted the stock.
Boeing jumped 4.01% to $204.54 on news of a $52 billion deal with Emirates in Dubai. The government-owned airline company will purchase 95 Boeing widebody passenger planes. Stan Deal, president and CEO of Boeing Commercial Airplanes, said the order by Emirates is “an incredible vote of confidence” in the company’s widebody planes.
V2X popped 2.72% to $43.13 following the earnings release for Q3 2023, which showed a record revenue of $1 billion. The aerospace and defense company also said the first task order win with the Department of State reached full operational capability ahead of schedule. Globalstar (NYSE: GSAT) and Accenture (NYSE: ACN) were among the nine decliners.
Besides the inflation reading, retail sales and earnings, a government shutdown at the end of the week could make or break investors’ confidence.
Market Summary
| INDEX | PRICE | NET CHANGE | % CHANGE |
|---|---|---|---|
| GovCon Index Daily Average | 143.55 | 1.15 | 0.80% |
| Dow Jones Industrial Average | 34,353.49 | 70.39 | 0.21% |
| S&P 500 | 4,414.19 | -1.05 | -0.02% |
| NASDAQ | 13,777.03 | -21.08 | -0.15% |
Top 5 GovCon Index Daily Percentage Performers
| SYMBOL | PRICE | NET CHANGE | % CHANGE |
|---|---|---|---|
| BA | 205.62 | 8.97 | 4.56% |
| VVX | 43.7 | 1.84 | 4.40% |
| CW | 214.11 | 6.63 | 3.20% |
| HII | 234.11 | 4.18 | 1.82% |
| LHX | 185 | 2.83 | 1.55% |
Top 5 GovCon Index Daily Net Performers
| SYMBOL | PRICE | NET CHANGE | % CHANGE |
|---|---|---|---|
| BA | 205.62 | 8.97 | 4.56% |
| CW | 214.11 | 6.63 | 3.20% |
| HII | 234.11 | 4.18 | 1.82% |
| GD | 246.66 | 3.11 | 1.28% |
| LHX | 185 | 2.83 | 1.55% |
Top 5 GovCon Index Daily Percentage Decliners
| SYMBOL | PRICE | NET CHANGE | % CHANGE |
|---|---|---|---|
| ACN | 315.86 | -3.83 | -1.20% |
| GSAT | 1.36 | -0.01 | -0.73% |
| MMS | 75.5 | -0.52 | -0.68% |
| CSCO | 52.26 | -0.33 | -0.62% |
| PLTR | 19.58 | -0.09 | -0.43% |
