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July 1, 2022, 2:50 p.m. EDT

Home builder stocks enjoy broad gains as Treasury yields fall to 1-month low

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By Tomi Kilgore

Shares of home builders were broadly higher Friday, as the continued drop in longer-term Treasury yields helped soothe some fears about home affordability. The iShares U.S. Home Construction ETF /zigman2/quotes/203468436/composite ITB -1.72% ran up 4.3% with all 47 equity components trading higher, while the S&P 500 /zigman2/quotes/210599714/realtime SPX -0.72% edged up 0.7%. PulteGroup Inc. /zigman2/quotes/201694804/composite PHM -2.36% was the biggest gainer of the group, rallying 7.0%, which would be the biggest one-day percentage gain since it surged 7.4% on Nov. 4, 2020. Among the sector ETF's other more-active components, shares of Lennar Corp. /zigman2/quotes/202536373/composite LEN -2.11% climbed 5.2%, D.R. Horton Inc. /zigman2/quotes/202032328/composite DHI -2.67% hiked up 5.4%, Builders FirstSource Inc. /zigman2/quotes/208924960/composite BLDR -3.19% surged 6.4% and KB Home /zigman2/quotes/206220859/composite KBH -3.05% tacked on 4.4%. The yield on the 10-year Treasury note /zigman2/quotes/211347051/realtime BX:TMUBMUSD10Y +4.04% fell 8.4 basis points (0.084 percentage points) to a one-month low of 2.888%, and has dropped 59.5 basis points since it closed at an 11-year high of 3.483 on June 14, amid growing concerns over a possible recession. Meanwhile, lower Treasury yields lead to lower mortgage rates, which also lowers the cost of buying a home. Elsewhere, real estate services company Redfin Corp.'s stock /zigman2/quotes/203726414/composite RDFN -6.49% soared 8.6% on Friday.

/zigman2/quotes/203468436/composite
US : U.S.: Cboe BZX
$ 61.87
-1.08 -1.72%
Volume: 3.15M
Aug. 17, 2022 4:00p
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/zigman2/quotes/210599714/realtime
US : S&P US
4,274.04
-31.16 -0.72%
Volume: 2.22B
Aug. 17, 2022 4:20p
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/zigman2/quotes/201694804/composite
US : U.S.: NYSE
$ 43.50
-1.05 -2.36%
Volume: 1.08M
Aug. 17, 2022 4:04p
P/E Ratio
4.84
Dividend Yield
1.38%
Market Cap
$10.31 billion
Rev. per Employee
$2.42M
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/zigman2/quotes/202536373/composite
US : U.S.: NYSE
$ 86.21
-1.86 -2.11%
Volume: 3.43M
Aug. 17, 2022 4:00p
P/E Ratio
5.90
Dividend Yield
1.74%
Market Cap
$25.01 billion
Rev. per Employee
$2.83M
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/zigman2/quotes/202032328/composite
US : U.S.: NYSE
$ 76.51
-2.10 -2.67%
Volume: 1.77M
Aug. 17, 2022 4:00p
P/E Ratio
4.92
Dividend Yield
1.18%
Market Cap
$27.32 billion
Rev. per Employee
$2.71M
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/zigman2/quotes/208924960/composite
US : U.S.: NYSE
$ 67.00
-2.21 -3.19%
Volume: 1.39M
Aug. 17, 2022 4:00p
P/E Ratio
4.59
Dividend Yield
N/A
Market Cap
$10.80 billion
Rev. per Employee
$812,528
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/zigman2/quotes/206220859/composite
US : U.S.: NYSE
$ 32.08
-1.01 -3.05%
Volume: 1.11M
Aug. 17, 2022 4:00p
P/E Ratio
4.39
Dividend Yield
1.87%
Market Cap
$2.88 billion
Rev. per Employee
$2.79M
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/zigman2/quotes/211347051/realtime
add Add to watchlist BX:TMUBMUSD10Y
BX : Tullett Prebon
2.90
+0.11 +4.04%
Volume: 0.00
Aug. 17, 2022 4:28p
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/zigman2/quotes/203726414/composite
US : U.S.: Nasdaq
$ 11.82
-0.82 -6.49%
Volume: 2.75M
Aug. 17, 2022 4:00p
P/E Ratio
N/A
Dividend Yield
N/A
Market Cap
$1.37 billion
Rev. per Employee
$368,141
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