The REIT market outperformed the broader market for the third day in a row. The S&P 500 increased by +1.26%, while the REITdaily top 100 REIT index increased by +1.69%. Volume was decent at about 110% of the long-term average.
Weak retail sales eased some concerns that the Fed would soon be raising rates, and a decline in the dollar today was also a welcomed relief to the markets.
The 10-year had initially declined by about 4 bps in the morning, but recovered in the afternoon and finish down just one bps to 2.10%.
American Realty Capital Properties (ARCP) was the top performing REIT for the second day in a row (+3.9%) following the appointment of Glenn Rufrano as CEO earlier this week. That said, volume remained light, which suggests that the new captain hasn’t changed the investment thesis for many, and an ultimate sale of the company still seems possible.
Other top performers include: FR (+2.8%), DFT (+2.8%), AAT (+2.8%), and CUBE (+2.7%)
Only three of the top 100 REITs (by market cap) had negative returns today.
MORE was particularly in negative territory, down -1.6% on above average volume.
Volume leaders include: HCP (281% above average), ALX (237%), KRG (95%), HME (93%), and EGP (84%)