From CNBC:
Not since the spring of 2008 have the nation’s homebuilders felt this good about the potential for new business. An industry association survey measuring builder sentiment rose for the third straight month in December, with significant gains in the component measuring traffic of perspective buyers....
“This is the first time that builder confidence has improved for three consecutive months since mid-2009, which signifies a legitimate though slowly emerging upward trend,” said National Association of Home Builders Chief Economist David Crowe. “While large inventories of foreclosed properties continue to plague the most distressed markets and consumer worries about job security and the challenges of selling an existing home remain significant factors, builders are reporting more inquiries and more interest among potential buyers than they have seen in previous months
Right on time, just as the Austrian Business Cycle model suggests. Fed accelerated money printing is boosting, in manipulated fashion, the capital goods sector, which includes the housing markets. The question now is, When will Krugman state that he hear's the howl of Keynesian animal spirits and declare that the bust phase of this business cycle is over?
