After a nice upside beat last month, home builder sentiment took a slight step back this month, falling from 58 down to 57. Today's report also was slightly weaker than expected as economists were forecasting the index to remain unchanged at 58. The table to the right breaks down this month's report by each of its subcomponents (charts below) as well as on a regional basis. As shown in the table, both the Present and Future Sales components showed slight declines this month, while the Traffic components remained unchanged. On a regional basis, the only region that saw an improvement was the West where sentiment improved from 60 to a post recession high of 74. While today's report showed slight weakness across the board, we would remind readers that each of the components remains right near their highest levels of the recovery.