MIKES: BMRBOY:
Not only is that a great chart and one I reposted on RUBBLE, but CNBC actually showed that very chart today on Kudlow and company (less Kudlow)!!! And, if it wasn't today, it was yesterday.
MIKE: I don't see any reason to be critical of the chart. Yes, it is true that the parameters are different (meaning an upper limit), but that isn't relevant IMO. The issue is how do the two charts correlate with respect to each other WITHIN the parameters that each has. In that case, it is what it is.
Thanks for finding that old data. I may create my own chart going back to 1985 and overlaying the two (SP5 lagging 1 year) to see if the correlation holds before 1996. Of course the historical NAHB data that you presented is monthly and the chart has data points of at least weekly, if not daily. Still, using monthly should be reasonable in terms of a correlation (if one exists).
Obviously, one would have to assume there is no previous correlation to 1996 or else they would have shown it farther back.
Len
Warren Buffet: 5 minutes and 17 seconds of pure, unadulterated, bulletproof, flawless logic.
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