Traders bet on builder stocks despite slowing housing market
By ALEX VEIGA
AP Business Writer
LOS ANGELES (AP) — The U.S. housing market has gone from red-hot to decidedly tepid since the spring, though you wouldn’t know it by this summer’s sharp rebound in homebuilder’s stocks. The rally by homebuilders follows a pullback in mortgage rates since June, suggesting investors are already looking ahead to a rebound from this summer’s weak market. Some in the industry warn the sector faces more pain in the second half.
