Homebuilders hit near 7-month high as optimism builds
27/03/2019 16:53
** S&P 1500 homebuilders index .SPCOMHOME surges over 3
pct to hit its highest since early September
** Lennar Corp LEN.N up 4.6 pct and biggest boost to the
index after sounding an upbeat note on moderating prices in the
wake of easing mortgage rates urn:newsml:reuters.com:*:nL3N21E3HZ
** Mortgage applications in the week ended March 22 rose
nearly 9 pct amid lower interest rates, Mortgage Bankers
Association (MBA) says https://www.mba.org/2019-press-releases/march/mortgage-applications-increase-in-latest-mba-weekly-survey-x250985
** The spring buying season is off to a strong start - MBA
** An unexpectedly large drop in mortgage rates after last
week's FOMC meeting, pushed purchase applications up 6 pct and
refinance applications over 12 pct, MBA says
** All 11 members on homebuilders index higher, between LGI
Homes's LGIH.O ~7 pct surge and Cavco's CVCO.O 0.5 pct gain
** Heavyweights PulteGroup PHM.N up ~5 pct, D.R. Horton
DHI.N and Toll Brothers TOL.N up over 2.5 pct each
** The homebuilders index is now up nearly 23 pct YTD, while
the S&P 500 .SPX and S&P 1500 .SPSUP are up just under 12
pct
** Homebuilders have jumped ~9 pct in past five days, with
most gains on heels of strong Feb existing home sales data
urn:newsml:reuters.com:*:nL3N2193HJ
(Reporting by Savio D'Souza)
((RM:savio.dsouza.thomsonreuters.com@reuters.net))