Builder Sentiment Highest Since June
The National Association of Home Builders said Tuesday that its monthly survey of builder sentiment rose to 16, the highest level since June.

"Though the gains have been incremental, the fact that builder confidence has improved over the past two months is encouraging," says Bob Jones, chair of the trade organization.

The index dropped to 13 in August and September, the lowest level since March 2009. It rose to a revised reading of 15 last month, but continues to reflect a grim industry outlook.

Readings below 50 are considered negative. The last time the index was above 50 was in April 2006. Many observers don’t expect things to improve much in 2011.

"The market is not going to have a significant improvement going into next year," Ticonderoga Securities analyst Paul Przybylski says. "It'll probably be 2012 before we get off the bottom."

Source: Associated Press, Alex Veiga (11/16/2010)