Early indications point to housing data bouncing off of a bottom in the April – May period. Homebuilders have rallied in recent weeks, defying many of the more bearish predictions from the depths of the COVID-19 pandemic. Even with an extremely tight supply, rising prices, and high unemployment, housing market activity remains resilient and well positioned for recovery. Additionally, the economic and psychological impact of the virus, combined with the recent spate of heated protests across the country, may have begun to wipe the shine off of expensive city living, stoking a new wave of demand for housing in more suburban communities, away from densely-packed metropolitan apartment blocks.
Related ETF: iShares U.S. Home Construction ETF (ITB)
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