Hints and tips:
...A powerful rally in the stocks of US homebuilders has gone into reverse, as investors worry that a rapid rise in mortgage rates is starting to threaten demand for new houses....
...Berkshire also exited its investments in payments business StoneCo, insurers Globe Life and Markel Corporation, and homebuilder DR Horton....
...head of distressed and corporate special situations, Ryan Mollett, is an industry veteran who previously worked at Blackstone, where he was the architect of a so-called “manufactured default” at the US homebuilder...
...Professional homebuilders and their suppliers have benefited....
...And just yesterday, the national association of homebuilders survey showed the first decline in homebuilder confidence in seven months, as customer traffic fell....
...Japanese homebuilder Sekisui House on Thursday agreed to buy Denver-based developer MDC for $4.9bn in cash. A shrinking domestic market is forcing Japan Inc to look for growth overseas....
...One worry is that as homebuilders boost production, supply chain constraints and cost inflation could return....
...This is the public homebuilders’ competitive “bazooka”, Palacios says....
...This includes the homebuilders (up 40 per cent or so) and commercial real estate plays such as Boston Properties and Simon Property Group....
...We asked Rick Palacios of John Burns Real Estate Consulting what has driven the homebuilder rally....
...Homebuilder Marty Trunk said his business Trunk Bay Companies had expanded from five to 10 houses a year to a range of 15 to 20. Some customers have been Rivian employees....
...The S&P Homebuilders Select Industry index is down 25 per cent so far this year, outpacing losses on the S&P 500 index....
...Longer term, spending on homes by both professional homebuilders and individual homeowners should remain elevated for some years to come....
...Like a raging house party abruptly stopped by the police, the prospect of higher interest rates has sobered up the share prices of US homebuilders....
...Essential comment before you go Lombard Is it business as usual for the homebuilders?...
...“We are in uncharted water,” said Dan Keegan, who heads Citi’s North America markets and securities services business....
...death (FT) Julius Baer to withhold millions from former bosses amid money-laundering scandal (FT) Misgivings about Jho Low laid bare in Goldman 1MDB settlement (FT) Lone Star bids £630m for retirement homebuilder...
...Other homebuilders including KB Home and Toll Brothers also erased gains registered earlier in the session....
...When it is completed in the autumn of next year, the two-tower structure will become US luxury homebuilder Toll Brothers’ 27th finished property in the New York City area....
...PulteGroup on Tuesday added to the chorus of US homebuilders offering upbeat projections of a resurgent US housing market this year, lifting shares of the company to levels not seen in nine months....
...KB Home was the worst performer among the largest US homebuilders with shares dropping 3.8 per cent. The stock fell more than 5 per cent at its lows during the session....
...US homebuilders came under pressure on Wednesday as investors balanced a surprise drop in new-home sales with hopes that mortgage rate increases may subside....
...PulteGroup said on Tuesday that it expected 2019 to be “more of a challenging year” as the US homebuilder reported a sharp drop in new orders during the fourth quarter....
...Shares in the upmarket homebuilder were 3 per cent higher following the closing bell after it reported diluted earnings of 76 cents a share on $1.36bn of revenue in the first quarter, which both blew past...
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