More positive news on the homes front as Beazer Homes (BZH) reported a tremendous surge in home closings. Issues certainly remain but the housing market is gaining traction. With inventories relatively low it will be essential for job growth to remain fairly solid to keep the momentum. Lately the data on jobs hasn’t been too encouraging unfortunately. As housing gains further momentum and when volume picks up, I would expect to see significant jobs growth in that industry which has literally been in a depression. I really believe it is only a matter of time until housing turns quite decisively but the Fed and the government need to stay vigilant in promoting growth as the global economy remains quite fragile.
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