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No. 3 - Housing at Bottom?

Today's government data showed pending home sales on the rise. Does this indicate that housing is finally bottoming? The numbers were up 5.3%, edging street expectations by 1%.

Prices in housing continue to fall, which may actually be a "good" thing, as there are plenty of people waiting to buy homes out there, waiting for a level of affordability.


This may be good for home improvement companies like Home Depot, Adami says, which rose to 30 from 21 earlier this year, at another point it seemed the housing crisis was bottoming. While he doesn't advise going long on Home Depot quite yet, but at these prices or lower from here, it starts to look good.

Jeffrey, "the retail guy," on the other hand, has a bleaker view: "Housing data is miserable." He says housing stocks will bottom whether homebuilders have bottomed or not.

Karen agrees and even says no to Home Depot, also splitting from Adami's view. "Run away from this sector."







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