BUZZ - US homebuilder index falls to an 18-month low as rising inflation data boosts rate hike expectations

October 14 -

** Shares of US homebuilders fell as rising CPI data increased market expectations for Federal Reserve rate hikes, sparking concerns about mortgage rates and housing affordability

** The Philadelphia Stock Exchange (PHLX) housing sector index .HGX dropped 2.1%, hitting its lowest level since April 2025

** D.R. Horton DHI.N, the largest US residential homebuilder by market capitalization and homes sold, fell 2.9%

** Shares of several major developers in the sector declined: Lennar LEN.N fell 3.36%, PulteGroup PHM.N fell 3.2%, and Toll Brothers TOL.N dropped 2.90%

** The 30-year mortgage rate (link) rose to 7.50%, reaching the highest level since November 2023 last week

** After the day's declines, LEN, DHI, PHM, and TOL are down more than 29%, 8%, 7%, and 4% respectively so far this year, while the Philadelphia Stock Exchange (PHLX) housing sector index has fallen more than 2% .HGX

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