Here are some initial observations on today’s report from S&P/Case-Shiller on its Home Price Indexes for July and Q2:
1. The 2.3% monthly increase in the Composite-20 Home Price Index in July was the highest monthly increase in the 12-year history of that index (it started in January 2000).
2. The 2.2% monthly increase in the Composite-10 Home Price Index in July matched the 2.2% increase in May, and marked the highest monthly increase in that index since June 2004, slightly more than eight years ago.
3. The 6.9% increase in the quarterly Composite-US Home Price Index in the second quarter (compared to Q1) was the highest quarterly increase in the 25-year history of that index going back to 1987.
MP: More evidence that the U.S. housing market has passed the bottom and is now in a period of sustainable recovery.