NAHB Index Weaker Than Expected For First Time Since April

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

Wednesday morning's release of the NAHB Homebuilder sentiment index came in unchanged from December (47), and was the first weaker-than-expected reading since last April. That being said, in April 2012, the index was at 24, while today it is nearly twice that level (47). The table to the right breaks out the NAHB Homebuilder index based on each of its components and regions.

While present sales were unchanged this month, homebuilders are seeing a decline in future sales even as traffic improved to its best level since April 2006. Due likely in part to the onset of winter, builders were less optimistic in the Northeast and Midwest, and more optimistic in the South and the West.