Track the companies that matter to you. It's FREE! Click one of these fan favorites to get started: Apple; Google; Ford.

Recs

1

Lackluster Housing Data Sinks Stocks

Don't let it get away!

Keep track of the stocks that matter to you.

Help yourself with the Fool's FREE and easy new watchlist service today.

Markets declined slightly in afternoon trading, given little progress on the fiscal cliff and uninspiring news from homebuilders. The National Association of Home Builders/Wells Fargo Housing Market Index rose to 47 in December from 45 in November, but that still doesn't indicate that a majority of builders feel optimistic about the market. In another report, U.S. housing starts fell 3% in November to a seasonally adjusted level of 861,000 annually. This is 22% higher than it was a year ago, so there's strong growth in the industry, but momentum may be slowing as we careen toward the fiscal cliff.

The so-so housing numbers have failed to give investors confidence in the markets, and with 30 minutes left in trading, the Dow Jones Industrial Average (DJINDICES: ^DJI  ) is down 0.42%, while the S&P 500 (SNPINDEX: ^GSPC  ) has fallen 0.47%.

Companies that benefit from the housing sector have been the hardest-hit today. Alcoa (NYSE: AA  ) and Home Depot (NYSE: HD  ) are down 3% and 1.4%, respectively, while Bank of America (NYSE: BAC  ) has slipped about 1.3%. These stocks have surged recently on the improvement in housing, and now that numbers seem to be leveling off, investors are getting concerned. I think some of the slowdown may be due to the fiscal cliff and concern about a recession, so this could be a valley before the recovery of housing gains momentum in 2013.

On the plus side, Intel (NASDAQ: INTC  ) rose 0.7% after agreeing to sell its stake in Clearwire (UNKNOWN: CLWR.DL  ) . The mobile operator agreed to buy the company for $2.2 billlion, and both Intel and Comcast agreed to sell their significant stakes in the company. Now, SoftBank just needs to come through on its $20.1 billion stake in Sprint to make the rest of the acquisition complete.

When it comes to dominating markets, it doesn't get much better than Intel's position in the PC microprocessor arena. However, that market is maturing, and Intel will find itself in a precarious long-term situation if it doesn't find new avenues for growth. In this premium research report on Intel, our analyst runs through all of the key topics investors should understand about the chip giant. Better yet, you'll continue to receive updates for an entire year. Click here now to learn more.


Read/Post Comments (0) | Recommend This Article (1)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2162460, ~/Articles/ArticleHandler.aspx, 7/5/2015 3:47:08 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Travis Hoium
TMFFlushDraw

Travis Hoium has been writing for fool.com since July 2010 and covers the solar industry, renewable energy, and gaming stocks among other things.

Today's Market

updated 2 days ago Sponsored by:
DOW 17,730.11 -27.80 -0.16%
S&P 500 2,076.78 -0.64 -0.03%
NASD 5,009.21 0.00 0.00%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

7/2/2015 4:00 PM
INTC $30.56 Up +0.38 +1.24%
Intel CAPS Rating: ****
AA $11.10 Up +0.03 +0.27%
Alcoa, Inc. CAPS Rating: ****
BAC $17.03 Down -0.19 -1.10%
Bank of America CAPS Rating: ****
CLWR.DL $0.00 Down +0.00 +0.00%
Clearwire Corp CAPS Rating: **
HD $111.49 Down -0.58 -0.52%
Home Depot CAPS Rating: ****
S $4.48 Down -0.04 -0.88%
Sprint CAPS Rating: ***

Advertisement