Bloomberg reports:
Purchases of new homes in the U.S. climbed 11 percent in June, the biggest gain in eight years, underscoring evidence that the deepest housing slump since the Great Depression is starting to stabilize. Sales increased to a 384,000 annual pace, higher than any forecast of economists surveyed by Bloomberg News and the most since November, figures from the Commerce Department showed today in Washington. The number of houses on the market dropped to the lowest level in more than a decade.
This activity signals what exactly? A bottom? Don't think so. Stability? Nope. The picture needs to be looked at as a whole, i.e. the economic picture in total. Failure to recognize less worse for what it really is (overall economy still getting worse) will lead to dashed hopes and bitterness.
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