Homebuilders Active Following Positive Housing Data (PHM) (HOV)

Homebuilders are rising Tuesday following select housing data released earlier in the session.

The S&P/Case-Shiller 20-City index rose 12.4 percent in July from the same period last year, while consensus views were looking for a 12.0 percent gain. It was the largest year-over-year gain realized since February 2006, according to market data.

Additionally, the Federal Housing Finance Agency (FHFA) reported its Housing Price Index (HPI) increased a seasonally-adjusted 1.0 percent in July from the prior month. The agency said, The July HPI change marks the eighteenth consecutive monthly price increase in the purchase-only, seasonally adjusted index. The previously reported 0.7 percent increase in June remained unchanged. All 20 cities in the index showed a year-over-year gain, led by a 27.5 percent jump in Las Vegas, Nv. Other markets showing gains of over 20 percent include San Diego, Los Angeles, and San Francisco, California.

Looking ahead, many are firm that housing demand will slow as mortgage rates hover at two-year high levels.

On watch today include PulteGroup (NYSE: PHM), D.R. Horton (NYSE: DHI), Taylor Morrison (NYSE: TMHC), Rylan Group (NYSE: RYL) and Hovnanian Enterprises (NYSE: HOV).

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