I posted my recap of activity in the CME Case Shiller home price contracts for January to the Reports section (or you can click here).
Highlights include:
- 8 contracts traded (across 4 regions and 4 expirations)
- OI increased to 63
- Trades took place in contracts with low Open Interest (e.g. DEN, MIA)
- Both outright and calendar spread trades. (No intercity trades)
- Prices generally flat w/ some regions slightly higher (e.g. California markets), some lower (MIA, WDC)
- Longer-term HPAs gravitating toward 3.0%
- Bid/Ask Spreads contracted across all expirations/ regions
- Calendar spreads tighter. Full slate of G15/16, X15/X16 spreads
- Feb ’15 contract prices consistent with ~4.0% HPA for 2014 (using CUS10-city index)
- CUSX16 < 1 point bid/ask spread most of Jan.
- Second month of two-sided quotes across all 11 Nov 1’7 contracts
- 7 two-sided Intercity Spread quotes (all in X16, X17)
Feel free to contact me (johnhdolan@homepricefutures.com) if you have any questions on this report, or if you’d like more details.