Salient to Investors:
Demand for new U.S. homes rose more than forecast in May, the most since April 2010. The number of houses on the market held near a record low.
Brian Jones at Societe Generale sees a gradual improvement but says we’ve miles to go before we get back to normal.
Prices have climbed on a 12-month basis since February, the best performance in five years.
Builders broke ground in May at an annual pace the most this year.
NAHB/Wells Fargo sentiment index rose to the highest since May 2007.
The S&P Supercomposite Homebuilder Index is up 33 percent in 2012 versus a 6.2 percent gain for the S&P 500.
The average rate on a 30-year fixed loan dropped to 3.66 percent last week, the lowest in data going back to 1972.