{"id":53716,"date":"2020-07-18T22:00:04","date_gmt":"2020-07-19T05:00:04","guid":{"rendered":"https:\/\/drduru.com\/onetwentytwo\/?p=53716"},"modified":"2020-07-18T23:18:46","modified_gmt":"2020-07-19T06:18:46","slug":"housing-sentiment-completes-v-shaped-recovery-stocks-following","status":"publish","type":"post","link":"https:\/\/drduru.com\/onetwentytwo\/2020\/07\/18\/housing-sentiment-completes-v-shaped-recovery-stocks-following\/","title":{"rendered":"Housing Sentiment Completes V-Shaped Recovery, Stocks Following"},"content":{"rendered":"\n

The Housing Market Index (HMI) soared to 72 in July. The 14-point move completed a V-shaped recovery in the sentiment of home builders. Unlike the reaction to the surprisingly strong June HMI<\/a>, the reaction to July’s surprise was definitely positive. <\/p>\n\n\n\n

The Message in Home Builder Sentiment<\/strong><\/h2>\n\n\n\n

The National Association of Home Builders (NAHB) explained the surge in the HMI with a mix of pent-up demand and the usual collection of drivers: “Builders are seeing strong traffic and  interest in new construction as existing home inventory remains lean. Moreover, builders in the Northeast and the Midwest are benefiting from demand that was sidelined during lockdowns in the spring.  Low interest rates are also fueling demand…” Builders are essentially expressing confidence that they can get back to business as usual.<\/p>\n\n\n\n

The Housing Market Index jumped from 37 in May to 58 in June. The V-shaped recovery is all the more impressive given the trough in April<\/a> sent the HMI back to the early days of the recovery from the collapse of the housing bubble. <\/p>\n\n\n\n

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Source: National Association of Home Builders<\/a><\/strong><\/figcaption><\/figure>\n\n\n\n