Is The Housing Market Showing Signs of a Bottom ? Also why has the market reversed its slide ?

As Repoted by Moody’s Economy we may see signs of a bottom soon

NEW YORK (Reuters) – U.S. housing markets from Florida to California have suffered price drops of 50 percent or more from their peak, but now, at long last, a bottom is within sight, likely in the fourth quarter nationally, according to a report from Moody’s Economy.com.

By the end of the housing downturn, nearly 62 percent of the nation’s 381 metropolitan areas will have experienced double-digit-percent declines in house prices, peak-to-trough, says the report by chief economist Mark Zandi and a team that includes Celia Chen, senior director of housing economics.

The declines will exceed 20 percent in about 100 metro areas, according to the report, scheduled to be discussed in a Webcast on Thursday. An advance copy was given exclusively to Reuters.

Despite the gloomy data, the report, by an independent subsidiary of Moody’s Corp, paints an improving picture of the housing market, which is in the midst of its worst downturn since the Great Depression and is both the source and a major casualty of the world credit crisis.

An improvement could portend a turnaround for the world’s largest economy and help stanch losses at U.S. banks, hit hard by soured mortgage securities.

In other news the market has reversed its slide on a multitude of bad news.
No news can be found yet. Some are calling this a technical bounce off the “Hogan bottom” of 7850 DOW JONES.
What is certain the NASDAQ has led the way forward.

It is also being suggested that commodities have bottomed and that may suggest that the “deflationary” spiral has stopped. Also suggesting that the stimulus already appropriated is starting to inflate the economy.

Rumors are flying around….Ritholtz has one for a market reversal