NAHB Housing Index Rises To Highest Levels Since 2006

Includes: ITB, REZ, XHB
by: Bespoke Investment Group

Today's release of the NAHB Sentiment survey for October rose from 40 to 41, which was inline with forecasts (41) and also the highest level since June 2006. Today's inline report ended a streak of five straight months of better than expected reports. As shown in the table to the right, all of this month's increase was due to an increase in Traffic (increased from 30 to 35), as Present and Future Sales were both unchanged.

In terms of regions, sentiment in the Northeast remains the most depressed even after increasing from a level of 31 to 34. The Midwest was the only region that saw a decline in sentiment, falling from a level of 45 to down 41. Finally, sentiment out West saw the largest monthly increase this month, rising from 44 to 49, bringing sentiment in that region ever so close to the 50 threshold that indicates actual growth.