REIT share prices were little changed during the Thanksgiving week, with a total return of 0.1% on the FTSE Nareit All Equity REITs index. Most REIT property sectors were up slightly for the week.
A few sectors, however, continued their recent strong run on hopes that a vaccine will help market conditions to recover next year. The most notable performance has been among lodging/resorts. This sector posted a 30.7% return the week of Nov. 13, when the favorable vaccine test results began being reported, and has subsequently posted two straight weeks of 6.1% total return. As recently as Oct. 30 the lodging/resorts sector was down more than 50% year-to-date, but during the month of November has cut this loss in half. The retail REIT sector has similarly rallied, cutting its year-to-date declines from 42.1% as of Oct. 30, to 26.1% last week.
Mortgage REITs also rose last week, their fourth consecutive weekly gain, with total returns of 3.7% and 5.0%, respectively, for home financing mREITs and commercial financing mREITs.