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Builders Slump as U.S. Housing Market Shifts to the Slow Lane

Builders Slump as U.S. Housing Market Shifts to the Slow Lane

The housing market is stalling, and homebuilder stocks are feeling the pain. The S&P Supercomposite Homebuilding Index is down 21 percent year-to-date, on track for the biggest annual drop since 2008, when it fell 32 percent. Investors are increasingly worried about what JPMorgan Chase & Co. calls a “fairly tepid” housing recovery.