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A worker carries a plank at the construction site of a new house in Alexandria, Va. U.S. sales of new homes tumbled 14.5 per cent in March from the previous month.
A worker carries a plank at the construction site of a new house in Alexandria, Va. U.S. sales of new homes tumbled 14.5 per cent in March from the previous month.
(KEVIN LAMARQUE/REUTERS)

U.S. housing bulls aren’t getting any help from the facts

Former Federal Reserve chairman Ben Bernanke expressed confidence the other day that the U.S. economy is firmly on the road to recovery from the Great Recession of 2008-09, thanks in part to the fact many of the headwinds that flattened U.S. housing are finally dissipating.

Well, those winds are still plenty strong, if the latest U.S. readings are any indication. Sales of new homes nosedived 14.5 per cent in March from the previous month. What’s more troubling is that the numbers were down in all regions from the previous year, despite decent demand and only a small increase in supply, which is boosting prices.