June 24 Market Close: GovCon Index Plummets on Brexit Vote Fallout, Raytheon Lone Gainer

The GovCon Index was no exception to the effects of Britain’s vote to leave the European Union on global financial markets Friday as the GCI recorded its worst one-day percentage drop of 2016 by 2.805 percent to 77.327.

Friday’s plunge brought the GCI from a weekly gain to a five-day loss of 1.175 percent and cuts the Index’s rise from the start of the year to 7.334 percent.

By comparison, the U.S. stock market bellwether S&P 500 composite index that contains 11 GCI companies fell 3.6 percent Friday and entered negative territory on a year-to-date basis at the close.

Bloomberg Television reported this was the worst one-day selloff for U.S. stocks since August.

Shares in British defense contractor BAE Systems PLC plummeted 13.07 percent in U.S. over-the-counter markets, while the company’s stock on the London exchange fell 4.6 percent.

Raytheon (NYSE: RTN) was the GCI’s lone bright spot Friday at a gain of 92 cents, while Lockheed Martin (NYSE: LMT) turned downward in the final 10 minutes of trade and closed at a decline of 30 cents after a peak gain of 1.17 percent in the morning session.

Northrop Grumman (NYSE: NOC) turned positive for a brief period shortly before 11 a.m. Eastern time before a retreat back into negative as no other GovCon Index stock approached gains during intraday trade, while Boeing (NYSE: BA) tumbled 5.26 percent and General Dynamics (NYSE: GD) fell 2.6 percent.

The U.K.’s disability benefits program contractor Maximus (NYSE: MMS) plunged 6.73 percent and CGI Group (NYSE: GIB) declined 6.44 percent as the latter company also has significant exposure in Britain.

Market Summary