Executive Mosaic’s GovCon Index rebounded from Monday’s loss, rising 0.64% to $5,201.61. The broader S&P 500 Index (+0.57%) and the Dow Jones Industrial Average (+0.28%) reached new record highs, while mega-cap tech stocks lifted the Nasdaq Composite (+0.63%).
Global stock markets declined on fears of potentially higher U.S. tariffs, including goods from USMCA partners Canada and Mexico. The U.S. dollar also strengthened against major currencies. General Motors (NYSE: GM) plunged 8.99% Tuesday. The American automotive company manufactures vehicles in Mexico and sells them in the U.S.
Gainers Outnumber Decliners
The GovCon Index had no prominent breakouts, although gainers outnumbered decliners. Nasdaq components Kratos Defense & Security Solutions (Nasdaq: KTOS) and ICF (Nasdaq: ICFI) led 18 advancers. Carlyle Group (Nasdaq: CG) and Boeing (NYSE: BA) topped the dozen underperformers.
Palantir Technologies (NYSE: PLTR), GCI’s top performer thus far in 2024, rose 1.69% on its supposed first trading day on the Nasdaq exchange. Mariana Perez Mora, an analyst at Bank of America, raised the price target for the AI stock to $75. PLTR currently trades at $65.74 per share (+282.88% year-to-date).
Boeing snapped its two-day winning streak. JPMorgan (NYSE: JPM) lowered its price target from $195 to $190, citing big challenges ahead. Meanwhile, the plane maker secured a $1.68 billion modification contract with the Naval Air Systems Command to deliver seven P-8A Poseidon aircraft.
On Tuesday, the US Navy awarded Raytheon, an RTX (NYSE: RTX) business, a $590.8 million fixed-price incentive firm target, cost-plus-fixed-fee contract for low-rate initial production of 13 next-generation Jammer mid-band ship sets for the Navy EA-18 Growler and Royal Australian Air Force.
Reduced Geopolitical Tensions
The US-brokered Israel-Hezbollah ceasefire reduced Middle East tensions and market volatility. US President Joe Biden said the ceasefire takes effect early Wednesday morning. France will work with America to ensure both sides fully implement and enforce the arrangement.
Market Summary
| Index | Price | Net Change | % Change |
|---|---|---|---|
| GovCon Index Daily Average | 5,201.61 | 33.51 | 0.64% |
| Dow Jones Industrial Average | 44,860.31 | 123.74 | 0.28% |
| NASDAQ | 19,174.30 | 119.46 | 0.63% |
Top 5 GovCon Index Daily Percentage Performers
| Symbol | Price | Net Change | % Change |
|---|---|---|---|
| KTOS | 27.24 | 0.83 | 3.14% |
| ICFI | 139.19 | 3.67 | 2.71% |
| LHX | 245.58 | 4.98 | 2.07% |
| AVAV | 196.5 | 3.39 | 1.76% |
| CACI | 472.47 | 8.12 | 1.75% |
Top 5 GovCon Index Daily Net Performers
| Symbol | Price | Net Change | % Change |
|---|---|---|---|
| CACI | 472.47 | 8.12 | 1.75% |
| LHX | 245.58 | 4.98 | 2.07% |
| CW | 375.05 | 3.67 | 0.99% |
| ICFI | 139.19 | 3.67 | 2.71% |
| AVAV | 196.5 | 3.39 | 1.76% |
Top 5 GovCon Index Daily Percentage Decliners
| Symbol | Price | Net Change | % Change |
|---|---|---|---|
| CG | 53.52 | -0.87 | -1.60% |
| BA | 150.76 | -2.34 | -1.53% |
| GIB | 111.72 | -0.88 | -0.78% |
| MMS | 72.9 | -0.56 | -0.76% |
| TXT | 85.13 | -0.62 | -0.72% |
