A look at what homebuilders (XHB) are saying suggests there is something real behind the rally...

|By:, SA News Editor

A look at what homebuilders (XHB) are saying suggests there is something real behind the rally in their stocks; the three big builders reporting last week - MDC, SPF, BZH - said closings and net new orders rose nicely Y/Y and from two years earlier. But shares are much more expensive; investors buying home builders now should be comfortable buying the broader economy and stock market.