Everyone knows the U.S. housing "recovery" has been resurrected on slippery ground. But now that we're finally about to slip - big time - no one sees it coming...
Then again, how could they?
The numbers are incredibly misleading...
According to the Commerce Department, new residential home sales in July fell a whopping 13.4% from their June sales pace. And sales in April, May, and June were all revised significantly lower.
Yet according to the National Association of Realtors, existing home sales (completed transactions that include single-family homes, townhomes, condominiums, and co-ops) increased 6.5%... to a seasonally adjusted annual rate of 5.39 million in July, from a downwardly revised 5.06 million in June.
On the surface, the divergence is confusing. But not when you look below the surface, where the real money gets made.
As you'll see (before anyone else), the housing "recovery" is just one giant "short squeeze."