Homebuilders bounce as builder sentiment nears 8-year high

|By:, SA News Editor

The NAHB builder sentiment index rises to nearly an 8-year high of 59 in August - the last time it was higher was 61 in November 2005. The move comes with the pace of new home sales nearing 500K annually, 38% higher than a year ago, but off from the 700K consistent with a healthy market.

The HomeBuilders ETF (XHB -0.4%) continues its summer decline, though it has bounced significantly since the NAHB print hit the tape.

Other ETFs: XHB, ITB, PKB.

A few stocks: Toll Brothers (TOL +2%), M/I Homes (MHO +3%), Hovnanian (HOV +1.7%), Pulte (PHM +2.2%), Lennar (LEN +3.1%), Ryland (RYL +1.3%), Beazer (BZH +2.9%).