New Home Sales - Turning UGLY numbers into Good!

We've seen this before! And they have done it once again. Making UGLY Numbers look good. If you look at MSM, you get the idea that new home sales went up! It turns out this is like everything else just Fake Numbers.

The expected number was 780K, the "real" (which will probably get revised) was 770K. 10K below expectations. But but revising the previous number downward, you get a net gain from "Previous" month. Let's add the revisions to this month and you go from 795K last month to 710K! Now that's 10.69% Drop!

I had to redo the numbers after reading that July numbers were also corrected. SO again, doing the same math (735K - 60K - 37K) would bring the current number to 673K. That is a 15% drop!!

SO There you have it folks. They have just changed a 15% Drop into 4% Gain.

A Large Coffee for MSM?

Here is part of the release

New single-family home sales rose to an annual rate of 770,000 from a revised rate of 735,000 in August, the Commerce Department said. Analysts polled by Reuters were expecting September sales to fall to an annual rate of 780,000 from the August previously reported rate of 795,000.

Here is the link to NYTimes Story
http://www.nytimes.com/reuters/business/25reutersecon.html

Disclosures: Shorting Homebuilders/CFC via Options!