This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

The Best of Kass

NEW YORK ( TheStreet) -- Doug Kass of Seabreeze Partners is known for his accurate stock market calls and keen insights into the economy, which he shares with RealMoney Pro readers in his daily trading diary.

Among his posts this week, Kass discussed why housing data bode well for a recovery, how he is investing to bet on such a recovery, and why he is increasing his short position in bonds.

Please click here for information about subscribing to RealMoney Pro.

Pending Home Sales
Originally published on Thursday, April 26 at 10:43 a.m. EDT.
  • The reading was better than expected.
  • March pending home sales were better than expected, rising by 4.1% as compared to a 0.4% increase in February and vs. expectations of a 1% bump.

    The year-over-year change was up 10.8% (compared to a small base a year ago).

    > > Bull or Bear? Vote in Our Poll

    This is the highest reading in two years, and pending home sales typically foreshadow existing-home sales by several months.

    A durable multiyear recovery in residential real estate markets is central to my thesis of a self-sustaining U.S. economy and why I am short bonds.

    The observations I have recently made and the national data on housing are confirmation of an industry upturn, which is supported by record housing affordability, a compelling home ownership vs. rent equation, the beginning stage of clearing shadow inventory, underproduction of new homes since 2008, pent-up demand as demographic/household formation trends continue, an improvement in the jobs market, improving confidence indicators and a slow easing up in mortgage lending.

    The U.S. home market is splintered and bifurcated, which represents to this observer that a recovery in home prices is imminent.

    The importance of the housing industry cannot be overstated. Consumer confidence and spending has been held hostage, to some degree, by a sharp drop in home prices, which is now coming to an end.

    At the time of publication, Kass had no positions in securities mentioned.

    How to Play a Recovery in Housing
    Originally published on Friday, April 27 at 12:21 p.m. EDT.

  • I am using Berkshire, BofA and Ocwen.
  • Over on Columnist Conversation, Ken "IBD Man" Shreve suggests some housing plays.

    As I have previously mentioned, I am playing the prospects for a durable housing recovery with Berkshire Hathaway (BRK.B), Bank of America (BAC) and Ocwen (OCN).

    Of the three, Ocwen's price likely presents the best risk/reward ratio.
    1 of 2

    Check Out Our Best Services for Investors

    Action Alerts PLUS

    Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

    Product Features:
    • $2.5+ million portfolio
    • Large-cap and dividend focus
    • Intraday trade alerts from Cramer
    Quant Ratings

    Access the tool that DOMINATES the Russell 2000 and the S&P 500.

    Product Features:
    • Buy, hold, or sell recommendations for over 4,300 stocks
    • Unlimited research reports on your favorite stocks
    • A custom stock screener
    Stocks Under $10

    David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

    Product Features:
    • Model portfolio
    • Stocks trading below $10
    • Intraday trade alerts
    14-Days Free
    Only $9.95
    14-Days Free
    Dividend Stock Advisor

    David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

    Product Features:
    • Diversified model portfolio of dividend stocks
    • Updates with exact steps to take - BUY, HOLD, SELL
    Trifecta Stocks

    Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

    Product Features:
    • Model Portfolio
    • Intra Day Trade alerts
    • Access to Quant Ratings
    Real Money

    More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

    Product Features:
    • Access to Jim Cramer's daily blog
    • Intraday commentary and news
    • Real-time trading forums
    Only $49.95
    14-Days Free
    14-Days Free
    TLT $129.45 0.31%
    AAPL $93.19 -1.70%
    FB $116.81 0.07%
    GOOG $690.52 -0.07%
    TSLA $238.66 -3.70%


    Chart of I:DJI
    DOW 17,713.31 -117.45 -0.66%
    S&P 500 2,054.43 -21.38 -1.03%
    NASDAQ 4,750.5750 -54.7160 -1.14%

    Free Reports

    Top Rated Stocks Top Rated Funds Top Rated ETFs