Observations

Supply of completed new homes has increased from 5.6 months to 7.4 months since January.

Current supply is the highest rate since March of 2011.

Builders are sitting on 74,000 completed homes built on speculation vs 63,000 in January.

On January 4, the 30-year mortgage rate was 3.95%. On November 15 it was 4.94%.

The Fed is committed to more rate hikes.

Please note that New Home Sales Dive 8.9% in October, Down 12.0% From Year Ago.

Meanwhile, Trump is committed to a trade war he cannot possibly win.

What can possibly go wrong with this picture?