Housing index drops to near eight-month low after Trump tariffs

Radian

04/03/2025 17:49

** PHLX Housing index .HGX falls 1% to lowest level since July 2024

** U.S. President Donald Trump hits Canada and Mexico with 25% tariffs, doubles duties on Chinese goods to 20%

** Canada responds with tariffs on select U.S. goods

** U.S. homebuilders likely to see rising costs as duties imposed on raw imports

** Tariffs add to concerns about slowing U.S. economic growth, which would hit demand for new houses

** Construction materials supplier Owens Corning OC.N falls 3.4%, insurance co Radian Group RDN.N dips 3.2%, the biggest housing index decliners

** Homebuilder Toll Brothers TOL.N drops 0.6%, heating and air conditioning company Lennox International LII.N dips 2.7%

** However, some homebuilder stocks turn positive: D.R. Horton DHI.N up 0.9%, Pultegroup PHM.N gains 1.4%, Lennar LEN.N gains 1%

** Including day's moves, housing index has fallen 5.5% YTD

 (Reporting by Lisa Mattackal)