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Mr. Yardeni also recommends makers of capital equipment, in part because of rising orders from foreign industrial companies.
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He pointed out Monday that KB Home predicted a rise in orders from the second quarter to the third, even though it hasn't happened at KB this decade.
And Beijing has vowed to do everything possible to stop prices of everyday goods from rising, even ordering companies not to raise the price of their goods.
The power vacuum in the city appeared almost complete, with no immediate prospect of a new order rising from the old.
Pulte's new home orders rose 25 percent from the previous year, to 4,218.
Orders rose 7% from the second quarter, to $2.67 billion, which was right at the midpoint of expectations.
The gauge for new orders rose to 51.9 from 48.8, while production jumped to 53.4 from 48.6, helping the overall index bounce back from a contraction in May — the first in six months.
New orders rose to 0.5 from minus 7.8, while inventories rose to zero from minus 10.
The backlog of orders rose to 49 from 45. Manufacturing had been bounding ahead, recovering from a slump in 1998 when Asian countries were barely growing or in recession.
He received the Emperor's Order of the Rising Sun from Prime Minister Yasuhiro Nakasone in 1985 for his analysis of the Japanese economy.
Among his many honours are the Japanese Order of the Rising Sun from Emperor Hirohito (1986) and the Japan Art Association's Praemium Imperiale prize (1993) for theatre/film.
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