The Monitor notes that it is difficult to say what isresponsible for this upswing, although it speculates that severalfactors may be responsible. First, there is the possibility thatREITs may be included in the S&P 500 index and second, changesto the Russell indexes at the end of 2Q may have had an impact onsmaller cap firms. Also, changes to portfolios at the end of thesecond quarter may also have played a role.

Despite the new record, however, the 30-day trading volume fordedicated real estate mutual funds dropped slightly to 16.3 millionshares from 16.4 million shares the week before. In addition, theaverage dividend yield for the RMS slipped to 6.71% from 6.80% thepreceding week. During the same period, the spread over the S&P500 moved down eight basis points to 544 bps while the spread overthe 10-year Treasury fell from 168 bps to 130 bps.

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