Housing stocks have been weak since mid-May as mortgage rates rise.
Average rates on 30-year fixed-rate mortgages rose to 4.51% in the latest week, the highest in about two years. Rising mortgage rates could reduce housing affordability and cut into demand for homes. [Rising Mortgage Rates Could Raze Homebuilder ETFs]
Meanwhile, public home builders are acquiring smaller private companies that are facing financing pressures, The Wall Street Journal reports.
iShares U.S. Home Construction ETF
Story, headline updated with homebuilder ETF performance.