Hovnanian Paints Weak Picture for Homebuilder ETFs | Page 2 of 2 | ETF Trends

“As long as job growth continues to organically boost demand, we think housing volumes and pricing will again show positive trends in spite of housing’s headwinds,” says the analyst. [Homebuilder ETFs Higher on Sales Report.]

Hovnanian is anticipating an improved fiscal situation fort he second half of 2011. The loss of the first-time homebuyers credit and weak jobs market have affected homebuilders and the real estate market across the board.

SPDR S&P Homebuilders ETF (NYSEArca: XHB) dropped 0.5% on Tuesday, and lost 4% over the past 10 days. iShares Dow Jones US Home Construction Index Fund (NYSEArca: ITB) fell 0.8% Tuesday, after trending down 3.5% over the past 10 days. [Housing ETFs Gain on Toll Brothers.]

Tisha Guerrero contributed to this article.