Even though home prices continue to rise (see yesterday's post), existing home sales and mortgage applications for purchases have softened.
Mirroring this weakness in existing home sales and mortgage apps, real estate stocks remain the weakest among North American stocks and by a pretty far margin.
25% of real estate stocks are making new 200-day lows. The 2nd worse group is utilities, where only 8% of stocks are making new lows. Overall, 19 of the 24 industries have ZERO stocks making new 200-day lows.
Similarly only 28% of real estate stocks are above their 200-day moving average. Meanwhile, 4 industry groups have EVERY stock over their 200-day moving average