Shares of Home Depot, Fannie Mae and home builders are rising faster than the broader stock market

NEW YORK: Shares of Home Depot, Fannie Mae and home builders are rising faster than the broader stock market on speculation that the worst of the housing slump is over. Government reports this week may show whether the rally is premature.

The Standard & Poor's 500-stock index of home construction stocks has gained 24 percent since falling to its low of the year July 18. The S&P 500 advanced 13 percent in the same period.

Housing shares have gained after government and industry reports showed that construction, sales and prices were falling, while the inventory of unsold homes was rising to a record level. Data this week are expected to show that previously owned homes are selling at the slowest pace in almost three years and economic growth is staying near the lowest level since 2003, according to a Bloomberg surveys of economists.

Not sure if this will be true or not... but it is worth noting the sentiment implied by the stock market.