The GovCon Index suffered its largest drop within the last month Monday with a loss of 2.296 percent to 68.862 to officially enter correction territory for the first time since its October 2014 inception.
The Index is down 10.72 percent from its most recent high of 77.134 on July 16 and Executive Mosaic — the parent company of the GovCon Index and GovCon Wire – declares the Index to be in a correction once it crosses the 10-percent decline mark.
The Index has declined 5.59 percent from its Aug. 28 close of 72.942 and 4.47 percent from its Aug. 31 close of 72.091.
BAE Systems PLC, which trades over-the-counter in the U.S., was the only Index company in positive territory as of 4:20 p.m. Eastern time with a gain of 0.65 percent to $26.65.
All three major stock indices traded in correction territory as well Monday as investors assessed a worldwide plunge in global equities and continued to speculate on the Federal Reserve‘s steps toward an interest rate increase, Bloomberg reported.
Biotechnology stocks and commodities declined across-the-board as investors turned to U.S. government bonds and the Japanese yen for safety, according to Bloomberg.
Executive Mosaic’s GovCon Index tracks 30 large, publicly-traded government contracting companies.
Market Summary
| Advancing Issues | 1 |
| Declining Issues | 29 |
| Unchanged Issues | 0 |
| Index | Value | Net Change | % Change |
|---|---|---|---|
| GovCon Index | 68.862 | -1.618 | -2.296% |
| S&P 500 | 1, 881.77 | -49.57 | -2.57% |
| Dow Jones Industrial Average | 16, 001.89 | -312.78 | -1.92% |
| NASDAQ | 4, 543.97 | -142.53 | -3.04% |
