×

Morning Note: Housing Already Hit Bottom?

Has the housing market hit bottom?

That was the question Fast Money Traders were preparing to ask Toll Brothers CEO Douglas Yearley Jr. ahead of his appearance on the Fast Money Halftime Report today.

Monday’s pending home sales data indicated a bottom is in.

The National Association of Realtors reported this morning that pending home sales rose in 2.1% in February. The news came as a surprise to many economists given the 16.9% drop in new home sales last month. Economists were expecting a drop of about 1% for pending home sales.

NAR chief economist Lawrence Yun predicted that home sales could rise 5% to 10% as the U.S. economy continues to recover. “Pending home sales have trended up very nicely since bottoming out last June, even with periodic monthly declines,” said Yun in a statement accompanying the NAR index release. “Contract activity is now 20% above the low point immediately following expiration of the home buyer tax credit.”

Yun’s analysis complimented that of other many housing analysts who have grown bullish on the sector in recent months.

In a note last Friday, J.P. Morgan’s Michael Rehaut suggested that the disappointing February new homes sales data from the Commerce Department was an anomaly. “The large monthly revisions of this data series was highlighted and hence, we continue to believe the magnitude of the reported decline for the month is likely materially overstated,” wrote Rehaut.


______________________________________________________
Got something to to say? Send us an e-mail at fastmoney-web@cnbc.com and your comment might be posted on the Rapid Recap. If you'd prefer to make a comment, but not have it published on our Web site, send those e-mails to fastmoney@cnbc.com.

Trader disclosure: On March 28, 2011, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s "Fast Money" were owned by the "Fast Money" traders; Grasso Owns (AMD); Grasso Owns (ASTM); Grasso Owns (BA); Grasso Owns (BAC); Grasso Owns (C); Grasso Owns (CPX); Grasso Owns (CSCO); Grasso Owns (D); Grasso Owns (JPM); Grasso Owns (LIT); Grasso Owns (LPX); Grasso Owns (MHY); Grasso Owns (NDAQ); Grasso Owns (PFE); Grasso Owns (PRST); Finerman's Firm Is Short (IJR); Finerman's Firm Is Short (MDY); Finerman's Firm Is Short (SPY); Finerman's Firm Is Long S&P Puts; Finerman's Firm Is Long Russell 2000 Puts; Finerman's Firm And Finerman Own (AAPL); Finerman's Firm Owns (BAC) Leap; Finerman Owns (BAC); Finerman Owns (C); Finerman Owns (GOOG); Finerman's Firm Owns (JPM), (JPM) Leaps; Finerman Owns (JPM); Finerman's Firm Owns (TGT); Finerman's Firm Owns (WMT); Finerman's Firm And Finerman Own (MSFT); Terranova Owns (VRTS); Terranova Owns (C); Terranova Owns (GS); Terranova Owns (JPM); Terranova Owns (UPL); Terranova Owns (MS); Terranova Owns (PBR); Terranova Owns (BAX); Terranova Owns (TEVA); Terranova Owns (IBM); Terranova Owns (XOM); Terranova Owns (JNPR); Terranova Owns (AAPL), (AAPL) Puts; Terranova Owns (AKAM), (AKAM) Calls; Terranova Owns (DIS); Terranova Owns (CVI); Terranova Owns (RSX); Terranova Owns (CNQ); Terranova Owns (BTU); Terranova Owns (CNX) Puts

For Steve Grasso:
Stuart Frankel & Co. And Its Partners Own (CSCO)
Stuart Frankel & Co. And Its Partners Own (CUBA)
Stuart Frankel & Co. And Its Partners Own (GERN)
Stuart Frankel & Co. And Its Partners Own (HPQ)
Stuart Frankel & Co. And Its Partners Own (HSPO)
Stuart Frankel & Co. And Its Partners Own (MSFT)
Stuart Frankel & Co. And Its Partners Own (NYX)
Stuart Frankel & Co. And Its Partners Own (PFE)
Stuart Frankel & Co. And Its Partners Own (PRST)
Stuart Frankel & Co. And Its Partners Own (SDS)
Stuart Frankel & Co. And Its Partners Own (XRX)
Stuart Frankel & Co. And Its Partners Are Short (QQQQ)
Stuart Frankel & Co. And Its Partners Are Short (AAPL)

For Joe Terranova
Terranova is Chief Market Strategist of Virtus Investment Partners, LTD
Virtus Investment Partners Owns More Than 1% Of (ABAX)
Virtus Investment Partners Owns More Than 1% Of (AMKR)
Virtus Investment Partners Owns More Than 1% Of (CCG)
Virtus Investment Partners Owns More Than 1% Of (CASS)
Virtus Investment Partners Owns More Than 1% Of (CSVI)
Virtus Investment Partners Owns More Than 1% Of (EXR)
Virtus Investment Partners Owns More Than 1% Of (FCFS)
Virtus Investment Partners Owns More Than 1% Of (KRC)
Virtus Investment Partners Owns More Than 1% Of (LDR)
Virtus Investment Partners Owns More Than 1% Of (LPHI)
Virtus Investment Partners Owns More Than 1% Of (NCRI)
Virtus Investment Partners Owns More Than 1% Of (DBV)
Virtus Investment Partners Owns More Than 1% Of (XLB)
Virtus Investment Partners Owns More Than 1% Of (XLV)
Virtus Investment Partners Owns More Than 1% Of (XLP)
Virtus Investment Partners Owns More Than 1% Of (XLY)
Virtus Investment Partners Owns More Than 1% Of (XLE)
Virtus Investment Partners Owns More Than 1% Of (XLF)
Virtus Investment Partners Owns More Than 1% Of (XLI)
Virtus Investment Partners Owns More Than 1% Of (XLK)
Virtus Investment Partners Owns More Than 1% Of (XLU)
Virtus Investment Partners Owns More Than 1% Of (SUBK)
Virtus Investment Partners Owns More Than 1% Of (WDFC)
Virtus Investment Partners Owns More Than 1% Of (YDNT)
Virtus Investment Partners Owns More Than 1% Of (DOM)

For Brian Kelly
Accounts Managed By Kanundrum Capital Own (EBAY)
Accounts Managed By Kanundrum Capital Own (SLV)
Accounts Managed By Kanundrum Capital Own (GLD)
Accounts Managed By Kanundrum Capital Own (RDC)
Accounts Managed By Kanundrum Capital Own (VLO)
Accounts Managed By Kanundrum Capital Own (TSO)
Accounts Managed By Kanundrum Capital Own (MON)
Accounts Managed By Kanundrum Capital Own (BBT)
Accounts Managed By Kanundrum Capital Are Long U.S. Dollar
Accounts Managed By Kanundrum Capital Are Long Gold
Accounts Managed By Kanundrum Capital Are Long Silver
Accounts Managed By Kanundrum Capital Are Long Wheat
Accounts Managed By Kanundrum Capital Are Short Copper
Accounts Managed By Kanundrum Capital Are Short Yen
Accounts Managed By Kanundrum Capital Are Short (XLF)
Accounts Managed By Kanundrum Capital Are Short (IXG)

For Dennis Gartman
Funds Managed By Dennis Gartman Are Long Canadian Dollars, Australian Dollars, Swiss Franc
Funds Managed By Dennis Gartman Are Long Gold, Corn, Soybeans
Funds Managed By Dennis Gartman Are Long Crude, Natural Gas
Funds Managed By Dennis Gartman Are Short Euros
Funds Managed By Dennis Gartman Are Short Sterling
Funds Managed By Dennis Gartman Are Short Yen

For Joshua Brown
***No Disclosures On KOP

For Mike Khouw
Cantor Fitzgerald & Co. Is A Market Maker In (POT)

For Anthony Scaramucci
SkyBridge Capital Is A Fund Of Funds Manager
Funds Held May Or May Not Own The Recommended Securities

For Robin Farley
(LVS), (WYNN) Is Or In Past 12 Months Has Been An Investment Banking Client Of UBS Securities LLC
UBS Securities LLC Has Recieved Compensation From (LVS), (WYNN) In Past 12 Months
UBS AG, Affiliates Or Subsidiaries Owned 1% Or More Of (WYNN) As Of Last Month's End

For William Power
Robert W. Baird & Co. Is A Market Maker In (VZ), (S), (T), (LEAP), (PCS)
Robert W. Baird & Co. And/Or Affiliates Expects To Receive/Seek Investment
Banking Compensation From (VZ), (S), (T), (LEAP), (PCS) In Next 3 Months

For Zachary Karabell

***No Disclosures On GSIC, EBAY
River Twice Capital Owned (GSIC) On 11/29/10

Karen Finerman/SOT
Finerman's Firm Owned (TGT) On 3/2/11

CNBC.com with wires.