Executive Mosaic’s GovCon Index stayed afloat mid-week, gaining a modest 0.02% to close at $138.65. Unfortunately, all major US stock indices sank after the Feds kept its benchmark rate unchanged, but hints of one more hike before the year ends.
The Dow Jones Industrial Average and Nasdaq Composite closed down 0.22% and 1.53%, while the S&P 500 Index lost 0.94%. Fed Chairman Jerome Powell said a soft landing is the central bank’s primary objective, restoring price stability is the priority or inflation comes back.
Powell clarifies that the next rate hike is not due to persistent inflation. He said, “Broadly stronger economic activity means we have to do more with rates.” Powell adds the United Auto Workers strike could have wide-ranging impacts on the US economy.
More than half of the GCI Index finished in the red with Palantir Technologies (NYSE: PLTR) and HII (NYSE: HII) leading decliners and sliding 2.71% and 1.60%, respectively. However, top advancer Textron Inc. (NYSE: TXT) surged nearly 5% after its subsidiary secured a record-breaking long-term deal.
NetJets extended its existing fleet agreement with Textron Aviation and will purchase up to 1,500 additional Cessna Citation business jets over the next 15 years. Warren Buffet’s conglomerate, Berkshire Hathaway (NYSE: BRK.A) (NYSE: BRK.B), owns NetJets, which can also buy more aircraft from Textron every year for fleet expansion purposes.
Market Summary
| Index | Price | Net Change | % Change |
|---|---|---|---|
| GovCon Index Daily Average | 138.65 | 0.03 | 0.02% |
| Dow Jones Industrial Average | 34,440.88 | -76.85 | -0.22% |
| S&P 500 | 4,402.20 | -41.75 | -0.94% |
| NASDAQ | 13,469.13 | -209.06 | -1.53% |
Top 5 GovCon Index Daily Percentage Performers
| Symbol | Price | Net Change | % Change |
|---|---|---|---|
| TXT | 79.37 | 3.73 | 4.93% |
| SAIC | 109.5 | 1.39 | 1.29% |
| GD | 225.55 | 2.70 | 1.21% |
| NOC | 440.18 | 4.21 | 0.97% |
| CAE | 24.37 | 0.18 | 0.74% |
Top 5 GovCon Index Daily Net Performers
| Symbol | Price | Net Change | % Change |
|---|---|---|---|
| NOC | 440.18 | 4.21 | 0.97% |
| TXT | 79.37 | 3.73 | 4.93% |
| GD | 225.55 | 2.70 | 1.21% |
| LMT | 426.95 | 1.64 | 0.39% |
| SAIC | 109.5 | 1.39 | 1.29% |
Top 5 GovCon Index Daily Percentage Decliners
| Symbol | Price | Net Change | % Change |
|---|---|---|---|
| PLTR | 14.74 | -0.41 | -2.71% |
| HII | 205.58 | -3.34 | -1.60% |
| CG | 31.97 | -0.50 | -1.54% |
| GSAT | 1.3 | -0.02 | -1.52% |
| FLR | 37.71 | -0.49 | -1.28% |
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