Executive Mosaic’s GovCon Index average closed at $142.77 or 0.32% higher as Wall Street posted its best week in 2023 following a month-long sell-off. The Dow Jones Industrial Average gained 222.4 points (+0.66%), while the S&P 500 Index rose 0.94%. For the tech-heavy Nasdaq Composite, the 1.38% advance resulted in the index’s biggest one-week gain (+6.6%) this year.
Besides the strong earnings reports during the week, the drop of the ten-year Treasury yield to 4.52% late Thursday aided the surge of the three major indexes. Analysts said the sharp decline of non-farm payrolls from 297,000 in September to 150,000 in October offers an encouraging signal for the central bank. Moreover, the unemployment rate rose to 3.9% last month, the highest level since January 2022.
On the GovCon Index side, Fluor (NYSE: FLR) advanced 5.86% to $36.66 after its earnings release. In the third quarter of 2023, the construction giant’s net earnings were $181 million compared to the $24 million net loss in the same quarter in 2022. Total revenue rose 9.72% year-over-year to $3.96 billion, while new contract awards reached $5 billion.
Palantir Technologies popped 5.12% to $18.89 and registered a 25.35% weekly gain. The $40.6 billion artificial intelligence and big data software platform is hopeful it will be a S&P 500 company soon. Northrop Grumman (NYSE: NOC) BAE Systems and Lockheed Martin (NYSE: LMT) led the decliners, sliding 1.09%, 1.06%, and 1.03%, respectively.
The decline in job creation takes some heat off the U.S. Federal Reserve’s fight against stubborn inflation. Fed chairman Jerome Powell expressed confidence that inflation is heading lower due to higher longer-term rates. The good news,” Powell said, “is we’re making progress. The progress is going to come in lumps and be bumpy, but we are making progress.”
Market Summary
| INDEX | PRICE | NET CHANGE | % CHANGE |
|---|---|---|---|
| GovCon Index Daily Average | 142.77 | 0.46 | 0.32% |
| Dow Jones Industrial Average | 34,061.32 | 222.24 | 0.66% |
| S&P 500 | 4,358.34 | 40.56 | 0.94% |
| NASDAQ | 13,478.28 | 184.09 | 1.38% |
Top 5 GovCon Index Daily Percentage Performers
| SYMBOL | PRICE | NET CHANGE | % CHANGE |
|---|---|---|---|
| FLR | 36.66 | 2.03 | 5.86% |
| PLTR | 18.89 | 0.92 | 5.12% |
| GSAT | 1.42 | 0.04 | 2.90% |
| CG | 29.38 | 0.54 | 1.87% |
| MMS | 77.13 | 1.36 | 1.79% |
Top 5 GovCon Index Daily Net Performers
| SYMBOL | PRICE | NET CHANGE | % CHANGE |
|---|---|---|---|
| ACN | 313.49 | 5.37 | 1.74% |
| BA | 195.05 | 3.04 | 1.58% |
| LHX | 185.67 | 2.61 | 1.43% |
| HON | 188.99 | 2.56 | 1.37% |
| FLR | 36.66 | 2.03 | 5.86% |
Top 5 GovCon Index Daily Percentage Decliners
| SYMBOL | PRICE | NET CHANGE | % CHANGE |
|---|---|---|---|
| NOC | 470.58 | -5.19 | -1.09% |
| BAESY | 54.35 | -0.58 | -1.06% |
| LMT | 453.34 | -4.70 | -1.03% |
| VVX | 51.44 | -0.25 | -0.48% |
| GD | 243.21 | -0.80 | -0.33% |
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