Todays movement was a complete tug of war between investors that know whats going on and shorts who were ready to jump all over the housing index because of the so called "terrible" news coming out of the housing sector.
Earlier in the week, homebuilders were more confident today than they have been the last 9 months. The news today was actually great. Single family homes went up, while apartments and townhome construction went down....lets sit back for a second and read into this.
Single family homes is more of a real estate seller, as apartments and townhomes would be rented. So if apartment and multifamily constructions go down, no more 100 people living in a complex, but more people buying up the housing sector.
By reading into this, the housing sector I PERSONALLY believe, and tourch me like a witch, has hit or will hit rock bottom within the next month or so. The housing sector is whats going to keep this rally going. The housing sector is not tired like financials and technology, the housing sector has yet to start their run. That ladies and gentleman will start very soon.
Real estate, a bubble that took almost 8 years to inflate, has reached bottom in 2 measly years? Praytell what miracle has befallen housing despite humongous job loss and still outrageous prices in bubble states? Prices keep falling -- hardly a bottom.
You can argue that URE, despite all the bad news, is going up. But to claim that the stock's performance is based on real life events is sheer fantasy.