Real Estate Revival? REITs Rebound As Curve Flattens
- U.S. equity markets posted their strongest weekly gains in decades amid evidence that the "coronavirus curve" is flattening. Models projecting the death toll from coronavirus have been revised drastically lower.
- Still 18% below recent highs, the S&P 500 surged by 12.1% while the Dow Jones added 2,600 points on the best week for the large-cap indexes in nearly 50 years.
- Real estate revival? Equity REITs, Mortgage REITs, and homebuilders all posted their best weekly returns on record, rebounding following a punishing March that saw valuations dip to historic lows.
- Several REITs provided updates this week, indicating that rent collection issues - so far - haven't been as dire as feared. Mortgage REITs, meanwhile, reported positive updates on book values.
- Unemployment data showed that nearly 17 million Americans - 10% of the workforce - have lost their jobs over the last three weeks, prompting ever-louder critique over the justification behind economic shutdowns.
