Following last month's surprising drop in new home sales, which tumbled the most in 8 months alongside sharp downward revisions to the historical data, coupled with a plunge in the median price many expressed concern that the housing recovery was finally saturated, at least when it comes to new housing even as demand for existing homes remained robust.

However, moments ago the latest data from the Census Bureau may have shelved such concerns, when it reported that in June new home sales surged 25.4% from a year ago and up 3.5% from the upward revised May print of 572K to 592K, above the 560K expected, and the highest number reported since 2008, even if still well below half of the peak hit before the recession struck.