Considering that new home sales for June was so much better than anticipated, the market was tepid.
Sales of newly constructed single-family homes spiked 11% in June to an annualized rate of 384,000 homes, according to a report released Monday.And there you have it. More and more economists are leaning towards the recession has bottomed out line of thought.
That is really good news. Considering what's going on in existing home sales, with all the foreclosure activity sending down home prices, for new homes to jump like that is a good indicator that the economy is bottoming out." source
So why didn't the market have an astonishing day to go with the housing news? I think its partly due to the over success of the last two weeks when the DOW hit 9,000. Its a dizzying view and people need to understand if this is the correct view. So its back to easy caution.
Reuters: Financials lift Wall St. in late rally
...investors rotated into financial shares...
Upbeat data on new home sales underpinned financial stocks...
...U.S. new home sales posted their biggest monthly gain in eight years in June...
3 comments:
Remember, the two Americas of John Edwards. For the 1st America the Recession is over, but it never really ever started for this America, anyway. This America got a good scare back in Sept- Dec. 2008. Their Prez. and Treasury Sect. Mr. Paulson threw trillions @ their fear and pain and now it's business as usual for them and their's. Then there is the 2nd America, still unemployed, house gone or going, no health care and the UN check running out. The plant down the street moved to China and they aren't even hiring @ Wal-Mart. For the America it's not a Recession it's a Depression ( one in which they can't even afford the meds.) One in which is only just beginning!
You are right. We had to get a prescription recently and the co-pay was more than the insurance coverage by a lot. We're talking 80 or 90 copay and we are supposed to be well covered.
Makes me think I should try to find stories about what's going right. Right in the sense that the little guy isn't getting screwed in order to benefit someone in an elite position.
I recently heard a story about a doctor who couldn't get a necessary procedure because the insurance didn't cover it. Its messed up but good.
Unfortunately, even Obama's best shot @ Health Reform is already being gutted and with it his Presidency. Too many people simply make to much $$ the way it is right now and these people could care less about everyone else.
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