Homebuilder sentiment index jumps 2 points

LOS ANGELES (AP) — The National Association of Home Builders says its housing market index increased for the second month in a row in May, reflecting growing optimism on the part of many builders.

While still near historically low levels, the Washington-based trade association said Monday the index rose two points to 16, it's highest reading since September.

Index readings lower than 50 indicate negative sentiment about the market.

The report reflects a survey of 733 residential developers nationwide, tracking builders' perceptions of market conditions. And the index readings for current sales conditions and expectations for sales over the next six months each increased in May.
   
Copyright 2009 The Associated Press.