Homebuilder Stocks Drop

Fears that further interest rate hikes would dampen demand for new homes prompted analysts to downgrade homebuilders. Shares of Pulte Homes Inc. (PHM) dropped $1.64 to close at $28.11 while D. R. Horton Inc. (DHI) stock fell $1.40 to close at $23.41. The stock price of KB Home (KBH) lost $3.28 to close at $45.82.