Builder Confidence Rises in October

Washington, DC, Oct. 18, 2011 -- Home-builder confidence in October rose by the largest amount since the ending of the home-buyer tax credit program last year, though it remains at weak levels, according to the National Association of Home Builders.

The NAHB/Wells Fargo housing market index rose by four points to 18, the biggest one-month gain since April 2010.

The index, which measures builder confidence in the market for new-built single-family homes and is closely correlated with single-family housing starts data, came in stronger than the 14 reading expected by economists.

A reading of 50 is considered a good reading, but the index hasn't been above 50 since April 2006.