Home / Financial Report / June 28 Market Close: GovCon Index Shows Rebound as Markets Attempt Reversal From Brexit Shock

June 28 Market Close: GovCon Index Shows Rebound as Markets Attempt Reversal From Brexit Shock

GovConIndexUPExecutive Mosaic’s GovCon Index received a modest boost Tuesday from attempts by U.S. and global equity markets to shake off a two-day rout spurred by Britain’s vote to leave the European Union with help from strong activity in McKesson Corp. (NYSE: MCK) and Honeywell (NYSE: HON).

The GovCon Index gained 0.725 points to 76.502 as the S&P 500 composite index rose 1.78 percent with financial and technology shares as the top performing sectors in U.S. markets.

McKesson led all GCI net gainers after the pharmaceutical services company said it would look to sell or spin off its enterprise information solutions segment and has agreed to merge its technology solutions business with Change Healthcare in a deal that creates a new $3.4 billion healthcare information technology company.

McKesson will own 70 percent of the new entity and Change Healthcare will hold the remaining 30-percent stake.

BAE Systems PLC‘s shares in U.S. over-the-counter markets climbed 5.18 percent after a two-day post-Brexit plunge of 17.06 percent, while the British defense contractor’s London-listed stock rose 3.09 percent and had declined 6.96 percent over the prior two sessions there.

Honeywell ended Tuesday as the GCI’s second-highest net gainer with defense contractors Northrop Grumman (NYSE: NOC), Harris Corp. (NYSE: HRS) and Huntington Ingalls Industries (NYSE: HII) in the top five.

Raytheon (NYSE: RTN) fell 1.34 percent and has declined 2.09 percent over two days after the missile maker ended Friday as the GCI’s lone gainer in the midst of post-Brexit headwinds in financial markets the day after the U.K. referendum.

Non-GovCon Index stock Aerojet Rocketdyne (NYSE: AJRD) gained 1.84 percent after the propulsion and rocket company announced it would consolidate from six business units into two with one focused on defense and another in space.

Top GovCon Index Net Gainers

Symbol Company $ Current Price Net Change ▴ % Change
MCK McKesson Corp.* 176.58 3.95 2.29%
HON Honeywell International* 114.06 2.60 2.33%
NOC Northrop Grumman* 216.13 1.98 0.92%
HRS Harris Corp. 80.30 1.81 2.31%
HII Huntington Ingalls Industries 160.85 1.75  1.10%

Top GovCon Index Percentage Gainers

Symbol Company $ Current Price Net Change % Change ▴
I Intelsat 2.41 0.26 12.09%
BAESY BAE Systems 26.17 1.29 5.18%
ACM AECOM 30.18 0.73 2.48%
HON Honeywell International 114.06 2.60 2.33%
HRS Harris Corp.  80.30 1.81 2.31%

*Also listed in the S&P 500 composite index

Market Summary

Advancing GovCon Index Issues 25
Declining GovCon Index Issues 5
Unchanged GovCon Index Issues 0
Index Value Net Change % Change
GovCon Index 76.502 +0.725 +0.957%
S&P 500 2, 036.09 +35.55 +1.78%
Dow Jones Industrial Average 17, 409.72 +269.48 +1.57%
NASDAQ 4, 691.87 +97.42 +2.12%

Check Also

Mark Cabrey Joins NT Concepts as SVP, CFO; Darin Powers Quoted

Mark Cabrey, a three-decade federal information services veteran, has been appointed senior vice president and chief financial officer at NT Concepts.

Laura Starego Joins Cognosante as Civilian Health Capture Mgmt Director

Laura Starego, a 13-year veteran of General Dynamics' (NYSE: GD) information technology unit, has been named director of capture manager for civilian health care business at Cognosante, FedHealth IT reported Friday. She brings more than two decades of information technology industry experience to her new position and has led cross-functional teams that pursued federal market opportunities.