Read a column by Money and Markets editor Mike Larson on MarketWatch.com — “The Guru’s Corner: Motivated seller” where he discusses the shorting possibilities in housing-related stocks.
“Wall Street bargain hunters are stepping up and buying home building shares. They’re betting the worst is over. I don’t buy it. Not by a long shot. I think we’re only in the second or third inning of a long-term, multi-year housing market downturn.
But rather than get too caught up in the debate, I’ve spent much more time lately exploring the “second round” impacts of the housing bust. I’ve been asking myself: Who ELSE is vulnerable to slowing home sales, rising inventories, and a slumping construction industry? In my view, they’re the NEXT round of stocks poised to tank.”
Click here to read the full article.
