Truely amazing with all the help that the housing market is receiving, tax credits, once in a lifetime low interest rates and the ballooning of the Fed balance sheet and we still see housing figures as bas as these. As dave Rosenberg from Gluskin Sheff points out, new homes sales fell 7.6% month-over-month to 342,000 units at an annual rate. To put that in context, that is the fifth weak month in the past 45 years. Wow.
We have the most stimulative fiscal and monetary polices ever to support a recovery in the U.S. housing market, and yet new home sales collapsed 7.6% MoM to a mere 342,000 annualized unitsShould be interesting to see how a sustained recovery comes with the rash of new foreclosures that come later this year.
For more scary Housing related news see Housing recovery could take a decade, economists warn (Washington Post)
For another take on Housing's relation to the overmarket see Goldman Studies 24 Housing Busts: Recoveries Always Weak, But Stocks Go Up Regardless (Money Game)