|Bid||0.00 x 800|
|Ask||0.00 x 4000|
|Day's Range||31.40 - 32.45|
|52 Week Range||29.47 - 46.56|
|PE Ratio (TTM)||N/A|
|Beta (3Y Monthly)||1.36|
|Expense Ratio (net)||0.43%|
After the sharp sell-off on Wednesday, home construction stocks and homebuilder sector-related exchange traded funds were among the few areas of strength Thursday in response to the fall in mortgage rates. On Thursday, the SPDR S&P Homebuilders ETF (XHB) rose 0.9% and iShares U.S. Home Construction ETF (ITB) increased 1.6%. Homebuilders have been under pressure as housing affordability concerns weighed on the sector, specially in recent months as mortgage rates and home prices continued to push higher.
A deadly combination of rising rates and low affordability continues to pound the housing industry, including homebuilders and homebuilder-focused exchange-traded funds (ETFs) alike, such as the Direxion ...
Shares of home builders took a broad beating Tuesday, after luxury builder Toll Brothers confirmed investors fears by saying it witnessed the housing market “soften further” in November, especially in California, because of reduced affordability and fewer foreign buyers.
The OECD (Organisation for Economic Co-operation and Development) has said that global economic growth has peaked. It lowered its growth forecast for global GDP (gross domestic product) to 3.5% for 2019 from 3.7%. It said that trade tensions have already erased 0.1–0.2 percentage points from the global GDP this year, and if the United States hikes tariffs on Chinese products to 25%, economic growth could fall to ~3% in 2020 from the current estimate of 3.5%.
Shares of home builders took a dive Wednesday, after data showing new home sales in October fell a lot more than expected. The iShares U.S. Home Construction ETF shed 2.2% in morning trade, with 44 of it 47 equity components trading lower. Among the more active home builders, shares of PulteGroup Inc. fell 3.5%, D.R. Horton Inc. dropped 2.1%, Toll Brothers Inc. gave up 3.5%, Lennar Corp. slid 2.8% and KB Home declined 3.2%. New-home sales fell 8.9% month-to-month to a seasonally adjusted annual rate of 544,000 in October, below expectations of about 589,000, while the median sales price fell 3.1% to $309,700. Earlier, real estate marketplace Zillow Group Inc. said it expected the home-buying market to continue to slow in 2019, as rising interest rates reduces affordability. The home construction ETF has has tumbled 18% over the past three months, while the S&P 500 has declined 7.2%.
The three major indices logged in their biggest losses in a Thanksgiving week since 2011. We have highlighted the best and worst performing ETFs of the Thanksgiving week.
Homebuilder stocks and sector-related ETFs may be stuck in a mire as slowing demand among home buyers and a steep drop in housing starts drag down sentiment. The home construction industry weakened Monday after the National Association of Home Builders revealed U.S. home builder sentiment saw its steepest one-month decline in over four-and-a-half years in November due to rising mortgage rates and a tight home inventory, Reuters reports. “Today’s housing data was pretty bad,” Jim Smigiel, chief investment office of Absolute Return Strategies, told MarketWatch.
The one-two punch combination of rising rates and low affordability continues to pound the housing industry as the National Association of Home Builders/Wells Fargo Housing Market Index, a key measure ...
Could Gold Be the Best Bet amid Increased Economic Uncertainty? The Federal Reserve is predicting growth to slow to 2.5% next year before slowing down further to 2.0%. This data becomes even more disappointing given the fact that the investments should have ideally risen given the tax cuts implemented by the current administration.
This Week in Economic Data World Not much going on this week, but what is going on is all concentrated on Tuesday and Wednesday. On Tuesday we have housing starts and building permits, which give us a better idea of whether the slowdown we have seen lately in housing is something bigger than just a […] The post Market Morning: Housing Numbers, Oil Bounce, ECB Soothes, Bitcoin Bloodbath appeared first on Market Exclusive.
Homebuilders stocks and the related exchange traded funds recently rallied, albeit modestly, off 2018 lows, but some market observers believe the group remains vulnerable to additional downside. The SPDR S&P Homebuilders ETF (XHB) , iShares U.S. Home Construction ETF (ITB) and Invesco Dynamic Building & Construction ETF (PKB) are still sporting significant year-to-date losses. “The XHB homebuilders ETF and ITB home construction ETF are both tracking for their worst years since 2008, the middle of a housing crisis that demolished the group,” reports CNBC.
Housing stocks are having a terrible year, weighed down by higher mortgage rates and raw-material costs. Because HVAC units typically last between 12 to 15 years, Baird analyst Tim Wojs sees strong demand for replacement-HVAC units over the next few years as units purchased during the height of the housing boom between 2003 and 2006 will soon need to be replaced. “We probably have a couple more years of strong replacement demand,” Wojs said.
Mortgage applications hit a near 4-year low lately as rising rate concerns are affecting the sector, putting homebuilder ETFs in focus.
Halloween may have passed, but home construction stocks continue to build a house of horrors: They’re down nearly 40%, on average, from their early-2018 highs. Of course, it’s understandable why home construction stocks’ weakness is so worrying, since the sector proved to be a good leading indicator of the 2008-09 Great Financial Crisis. A year prior to the 2007-09 bear market, for example, the iShares U.S. Home Construction ETF (ITB) , for example, had already fallen 25%.
Homebuilders stocks and sector-related ETFs led the charge on Tuesday as the homeownership rate in the U.S. gains momentum. Supporting the gains in the homebuilder sector, the Census Bureau revealed the homeownership rate was 64.4% in the third quarter, compared to 64.3% in the prior three months and 63.9% a year earlier, Bloomberg reports. The steady price gains in the housing sector over the past six years are starting to slow, potentially allowing more buyers to bid on houses without resorting to a pricey bidding war.
The housing market is one of the few sectors in the U.S. that isn't riding on the country???s growth as rising rates and housing prices are resulting in lower sales, putting housing ETFs in focus.
The housing market is clearly taking a turn for the worse, as sales of newly-constructed homes fell off a cliff in September.
The constant strain of the Sino-U.S. trade relationship brought Chinese stocks to their knees in 2018 – the latest wave of selling sending mainland Shanghai Composite Index to levels not seen since November 2014. Volatility-tied products are under pressure again as wild price swings have returned to the markets. U.S. homebuilders are going through rough times with disappointing numbers in building permits and housing starts. Rising funding costs are a major problem for indebted corporations, especially as U.S. companies’ debt load reached record levels of $6.3 trillion. Closing the list, FAANGs have a wall of worries to climb with Netflix hoping to lead the way up with surging revenue and subscriber adds. Check out our previous Trends edition at Major Stock Indices Feel The Pain of Multi-Year High Rates.
The yields on benchmark Treasury notes headed lower Wednesday as the Commerce Department reported weaker-than-expected new home sales, which dropped by 5.5% during September--its lowest level since 2016. "Anyone watching home builder stocks or watching the data all year should not be surprised but its's clear this important area of the US economy, highly sensitive to price and rates, has obviously slowed sharply," said Peter Boockvar, chief investment officer for the Bleakley Advisory Group. The new home sales data comes as housing starts also fell more than expected, sliding by 5.3% to a seasonally adjusted annual rate of 1.201 million units last month, according to the Commerce Department.
While some big blue chip stocks revealed lackluster results for the third quarter, homebuilders and home construction-related ETFs climbed on strong earnings and forward guidance. On Tuesday, the SPDR ...
Tom Lee, head of research and co-founder of Fundstrat Global Advisors, says homebuilders are a major buy. He joins Yahoo Finance's Julie Hyman and Adam Shapiro as well as Bullseye Brief author and publisher Adam Johnson to explain why.