Owens Corning and Quanex shares surged over 7% after both chambers of Congress passed the 21st Century ROAD to Housing Act, the most significant federal housing-supply legislation since 1990. The bill aims to boost supply by cutting red tape, streamlining environmental reviews, modernizing manufactured-housing rules, and barring institutional owners of 350-plus single-family homes from buying more existing homes. Peer KB Home also reported a revenue beat with Q2 revenue of $1.11 billion, exceeding the $1.10 billion consensus, while the 10-year Treasury yield dropped below 4.5%, signaling potential mortgage rate relief. Owens Corning gained 7.1% and Quanex gained 7%, with the market viewing the legislation as a multi-year volume catalyst for builders despite mortgage rates remaining around 6.5% to 6.8%.
Quanex Building ProductsHousing supply bill passed, expected to boost demand for building products.
Owens Corning IncHousing supply bill passed, expected to boost demand for insulation and roofing materials.
KB HomeKB Home reported Q2 revenue beat, indicating strong demand for new homes.