TheStreet.com RealMoney
In Building, the Insiders Are Getting Out

By Jonathan Moreland

About this article:
Much of the "blood in the streets" -- the indicators bulls are using to suggest the stock market is offering a great buying opportunity -- has flowed out of the driveways of depreciating and foreclosed American homes. Shares of major homebuilders like Toll Brothers , NVR and Centex all started heading down in the first half of 2007. Toll Brothers and NVR both gave up about 60% of their market cap in the months leading up to last month's selling crescendo, while Centex cratered 90%. But that's old news. More interesting is that over the past four weeks, all three of these stocks (along with most of their peers) have soared as investors bet that the worst was over for the building sector. Some fortunate punters have managed quick gains of 50% or more on the bounce. But the question remains: is this the...

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