The real estate sector, as measured by the VNQ ETF, moved higher today, primarily driven by strong second-quarter earnings and an increased 2026 forecast from Prologis (PLD), a leading industrial REIT. This positive news from a major industry player appears to be outweighing negative data in the residential housing market, such as a drop in homebuilder sentiment and pending home sales. The rally is also supported by ongoing M&A activity and a generally positive outlook for REITs in the second half of the year.