One of the leading measures of monthly home prices in the U.S., compiled by S&P/Case Shiller, indicates that residential home values increased 4.3% through October in its 20-city composite. The research results measure average home values in key markets across the U.S.

The 4.3% jump in home prices year-over-year comes on the heels of a 3% annual improvement in September.

"Looking over this report, and considering other data on housing starts and sales, it is clear that the housing recovery is gathering strength," David Blitzer, chairman of the Index Committee at S&P Dow Jones Indices, said in a statement. "Higher year-over-year price gains plus strong performances in the southwest and California, regions that suffered during the housing bust, confirm that housing is now contributing to the economy."

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