Executive Mosaic’s GovCon Index fell -1.02% to $5,016.21, extending its slump to three days. The Dow Jones Industrial Average (-0.32%), S&P 500 (-0.29%), and Nasdaq Composite (-0.50%) snapped their four-day winning streaks but ended positive for the week.
Tech stocks led Friday’s slide, although Twilio (NYSE: TWLO) bucked the downtrend. The cloud communications software company jumped +20.13% after giving a favorable business outlook and forecasting double-digit growth due to the growing demand for AI tools. Danish pharmaceutical firm Novo Nordisk (NYSE: NVO) climbed +8.3% because of the positive results from its amycretin weight-loss drug trial.
Third Losing Session
The GovCon Index registered its third consecutive losing session after logging its best day on Tuesday. Only Mercury Systems (Nasdaq: MRCY) and CGI (NYSE: GIB) advanced Friday, while CACI International (NYSE: CACI) led 27 decliners. Palantir Technologies (Nasdaq: PLTR) was unchanged, although the AI stock is coming off a seven-day winning streak.
Boeing (NYSE: BA) was among the top four losers on the blue-chip Dow Jones. The aircraft manufacturer will present its Q4 2024 results on Jan. 28 but expects approximately $4 billion in losses and a $3.5 billion cash burn during the quarter.
Also, on Friday, the Defense Logistics Agency awarded Boeing a $90.8 million modification exercising the three-option period of a five-year base contract for the attack AH 64 and heavy-lift CH 47 helicopters’ global support. The modification is part of the firm-fixed-price, cost-plus-fixed-fee contract.
The U.S. Navy awarded Sikorsky Aircraft, a Lockheed Martin (NYSE: LMT) company, a $64.8 million cost-plus-fixed-fee, firm-fixed-price order against a previously issued basic ordering agreement for updated logistics analysis and products required to support configuration changes on the CH-53K helicopter. Sikorsky will also develop and deliver new intermediate and depot component repair capabilities for the Navy and Marine Corps.
Rate Decision Next Week
Investors welcomed President Donald Trump’s comment during the World Economic Forum in Davos, Switzerland, that he would demand lower interest rates immediately. However, market analysts expect the central bank to leave rates unchanged. According to data from CME Group, the probability of no rate cut this month is 99%.
U.S. Fed chairman Jerome Powell will announce the rate decision on Jan. 29 in a press conference at the close of the two-day Federal Open Market Committee meeting.
Market Summary
| Index | Price | Net Change | % Change |
|---|---|---|---|
| GovCon Index Daily Average | 5,016.21 | -51.10 | -1.02% |
| Dow Jones Industrial Average | 44,424.25 | -140.82 | -0.32% |
| S&P 500 | 6,101.24 | -17.47 | -0.29% |
| NASDAQ | 19,954.30 | -99.38 | -0.50% |
Top 5 GovCon Index Daily Percentage Performers
| Symbol | Price | Net Change | % Change |
|---|---|---|---|
| MRCY | 42.71 | 0.25 | 0.59% |
| GIB | 111.97 | 0.36 | 0.32% |
| LMT | 496.96 | -0.32 | -0.06% |
| CW | 383.84 | -0.23 | -0.06% |
| CG | 56.83 | -0.13 | -0.23% |
Top 5 GovCon Index Daily Net Performers
| Symbol | Price | Net Change | % Change |
|---|---|---|---|
| GIB | 111.97 | 0.36 | 0.32% |
| MRCY | 42.71 | 0.25 | 0.59% |
| CG | 56.83 | -0.13 | -0.23% |
| CW | 383.84 | -0.23 | -0.06% |
| BAESY | 61.77 | -0.28 | -0.45% |
Top 5 GovCon Index Daily Percentage Decliners
| Symbol | Price | Net Change | % Change |
|---|---|---|---|
| CACI | 406.42 | -15.22 | -3.61% |
| ICFI | 123.41 | -3.24 | -2.56% |
| TTEK | 38.37 | -1.01 | -2.56% |
| LDOS | 145.59 | -3.32 | -2.23% |
| KBR | 56.3 | -1.25 | -2.17% |
