ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
Housing Market Intro and Summary The stocks of home builders are stuck in an enduring bear market that started in late 2024, while the underlying housing market continues to grind through weak sales, depressed builder sentiment, and constrained affordability. Congress’s passage of the 21st Century ROAD to Housing Act provided a beacon of much needed … Read more
Housing Market Intro and Summary The 21st Century ROAD to Housing Act became a milestone in July for the housing market. Housing-related stocks pulled back from peak levels. The data released in July showed more stasis and tepid market dynamics. The bump in sentiment associated with House passage of ROAD proved to be temporary, suggesting … Read more
Housing Market Intro and Summary Across builder stocks, construction activity, permits, new home sales, and existing home sales, the same pattern persists: the housing market has yet to achieve the escape velocity needed to break free from its multiyear ranges. A month ago, the housing market and related stocks looked like they were clinging to … Read more
Housing Market Intro and Summary The housing market again seemed to tell a tale of divergent markets between new and existing homes. While new home sales and starts fared well, a large setback in builder sentiment sets the stage for setbacks in April’s new home sales. Existing home sales completely erased the wistful optimism from … Read more
Housing Market Intro and Summary The housing market is entering its spring selling season, but for me this moment is more about spring cleaning. The seasonal trade in home builders and housing-related optimism has run its course far sooner and far weaker than I expected. What should have been a period of improving momentum has … Read more