Macro
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month values ▾
| Jan | Feb | Mar | Apr | May | Jun | Jul | Aug | Sep | Oct | Nov | Dec |
|---|---|---|---|---|---|---|---|---|---|---|---|
| -0.02 | -0.02 | +0.30 | -0.02 | -0.02 | +0.08 | +0.08 | +0.08 | +0.08 | +0.08 | +0.18 | +0.18 |
Defense sector sentiment is neutral this month despite the negative backdrop of sequestration-level automatic spending cuts, which typically signal constrained budgets and reduced procurement outlooks. However, the market appears to be discounting the immediate impact, possibly factoring in historical precedents where defense outlays were later restored or mitigated through supplemental appropriations. The absence of other major sector-specific catalysts leaves sentiment anchored but not deteriorating sharply.
How this mood is scored ▾
Automatic across-the-board federal spending cuts known as sequestration took effect after Congress failed to reach an alternative deficit-reduction deal, hitting the Pentagon budget especially hard. Defense contractors warned of program delays and furloughs. The cuts weighed on GDP growth estimates for the year.