Executive Mosaic’s GovCon Index erased Thursday’s loss, rising +2.31% to $4,656.07 to end a highly volatile week. All three major U.S. indexes bounced back, notwithstanding trade and economic uncertainties. Federal Reserve Chairman Jerome Powell said rate cuts are on hold until there is greater clarity on policy changes.
The tech-heavy Nasdaq Composite (+0.70%) led Friday’s rebound. However, Magnificent Seven member Tesla (Nasdaq: TSLA) fell -0.30% on Friday and lost -10.35% overall for the week. International Business Machines (Nasdaq: IBM) was the top gainer on the blue-chip Dow Jones Industrial Average (+0.52%) with +5.17%.
Gainers dominate
The GovCon Index repeated its strong performance midweek as gainers dominated decliners, 25 to 5. Eight stocks advanced between 4.5% and 9%, bannered by Fortune 500 company Science Applications International Corporation (Nasdaq: SAIC). The other top performers were CACI International (NYSE: CACI) and Booz Allen Hamilton (NYSE: BAH). Boeing (NYSE: BA) topped the underperformers with -2.68%.
Brian Gunderson, senior vice president of Booz Allen Hamilton and head of its Rome office, expressed confidence that 2025 will bring as much success, if not more, than last year. He added that the strategic partnerships with Amazon Web Services and Palantir Technologies (Nasdaq: PLTR) will help drive speed to outcomes for the government.
Booz Allen formed a Defense Technology Group aiming is to accelerate capability development for its defense clients, including all six branches of the U.S. military, the Office of the Secretary of Defense, and the Joint Staff. The advanced technology company also partnered with software developer Palantir Technologies in Dec. 2024 to accelerate the pace of military operations in the AI era.
The U.S. economy is in good shape.
On Friday, Fed Chair Powell spoke at the University of Chicago Booth School of Business 2025 U.S. Monetary Policy Forum in New York. He said the U.S. economy continues to be in a good place despite the elevated levels of uncertainty. “The labor market is solid, and inflation has moved closer to our two percent longer-run goal,” he added.
However, the central bank’s path of monetary policy depends on the policy changes by the new administration in trade, immigration, fiscal policy, and regulation. Powell said the Feds are well-positioned to deal with risks and uncertainties.
Market Summary
| Index | Price | Net Change | % Change |
|---|---|---|---|
| GovCon Index Daily Average | 4,656.07 | 107.64 | 2.31% |
| Dow Jones Industrial Average | 42,801.72 | 222.64 | 0.52% |
| S&P 500 | 5,770.20 | 31.68 | 0.55% |
| NASDAQ | 18,196.22 | 126.96 | 0.70% |
Top 5 GovCon Index Daily Percentage Performers
| Symbol | Price | Net Change | % Change |
|---|---|---|---|
| SAIC | 111.25 | 9.09 | 8.90% |
| CACI | 387.17 | 28.21 | 7.86% |
| BAH | 116.47 | 8.14 | 7.51% |
| PLTR | 84.9 | 4.44 | 5.52% |
| TTEK | 30.02 | 1.45 | 5.08% |
Top 5 GovCon Index Daily Net Performers
| Symbol | Price | Net Change | % Change |
|---|---|---|---|
| CACI | 387.17 | 28.21 | 7.86% |
| LMT | 473.65 | 12.15 | 2.63% |
| NOC | 486.52 | 11.32 | 2.38% |
| SAIC | 111.25 | 9.09 | 8.90% |
| BAH | 116.47 | 8.14 | 7.51% |
Top 5 GovCon Index Daily Percentage Decliners
| Symbol | Price | Net Change | % Change |
|---|---|---|---|
| BA | 154.18 | -4.25 | -2.68% |
| BAESY | 83.1 | -2.16 | -2.53% |
| AVAV | 132.33 | -2.74 | -2.03% |
| CG | 43 | -0.55 | -1.26% |
| FLR | 36.14 | -0.44 | -1.20% |
