Homebuilding and real estate exchange traded funds (ETFs) reeled from the news that pending home sales hit a new low in March.

It was the second consecutive months in which a new low was hit, reports David Goldman for CNN Money. The reading was down 20.1% from March 2007, and 35% from the index's high in April 2005.

The Pending Home Sales Index is seen as a more forward-looking indicator of home sales than other real estate forecasts because they're measured a month or two before a sale actually closes.

For existing home sales, the numbers were slightly better: instead of the predicted 14.5% decline, the projections are now for a 14.4% decline. It's a case of taking the good news where you can get it. The actual figures will be released on May 23.

Among the related ETFs affected by the news:

• SPDR S&P Homebuilders (XHB): up 18.6% year-to-date
• iShares Dow Jones US Home Construction (ITB): up 18.9% year-to-date
• iShares FTSE NAREITH Real Estate 50 (FTY): up 9.7% year-to-date
• DJ Wilshire REIT (RWR): up 11.4% year-to-date