The charts below show three common indexes for US housing stocks. They were up last year in the range of 31% to 75% while the S&P 500 Index was up 19.4%.
This year, however, the indexes are down 10-21% and the Home Construction Index is in a bear market territory, if one uses 20% decline from the top as the threshold level.
The S&P 500 Index is up 9.6% year to date. I think it is worrisome to see such extremes in performance between years, especially given the importance of housing stocks for the broad market.
Comments
Log in or sign up to join the conversation.