Stocks look better, but are not seeing a knee-jerk higher and TLT is still rising so as I said earlier in the week, "I don't think a bounce is taper-based at all", and the market's scattered reaction seems to confirm that so far.
As for New Home Sales, when 60% of all homes are bought in cash and only 40% refinanced, you know the average mom and pop are not the ones doing the buying and the big Private Equity firms who are buying in cash are fickle about being landlords with some continuing to buy and other dumping portfolios of 75,000 homes at a time as the landlord business wasn't all that they had imagined.
New Home Sales...
| Released On 8/23/2013 10:00:00 AM For Jul, 2013 | ||||||||||
That's a miss of about -20%, median home prices fell as well and June's data was revised lower, how anyone ever believed there was a recovery in housing is beyond me unless all they did was listen to CNBC, but if they looked at any of the data over the last several months, it was clear no such event was occurring and with the mortgage rates rising I doubt it gets a whole lot better, just wait for the next private equity firm to dump their portfolio of rental homes on the market. |
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