Encouraging data indicating diminishing inflation, a moderating labor market, and a more restrained tone from the FOMC suggest the Federal Reserve might have concluded its interest rate hikes. As expected, this acted as a catalyst for REIT performance resulting in cap rate compression across the public markets since the 10-year yield peaked in October, says CenterSquare in its recent report, Fourth quarter 2023 REIT cap rate perspective: REITs on the rise.
The firm believes if this is correct, REITs will maintain their recent upward momentum, despite prevailing market uncertainties as we head into 2024.
To read the full report, click here.
