Dive Brief:

• Happy days are here again for homebuilders, who reported higher confidence in the housing market this month than at any time since January.

• The National Association of Home Builders/Wells Fargo Housing Market Index, released on Wednesday, showed builder sentiment in April reached a level of 56—up from 53 in March. A score higher than 50 indicates that more builders are optimistic than pessimistic about homebuilding prospects for the next few months.

• NAHB Chief Economist David Crowe noted that low interest rates and solid job creation are “contributing to a steady housing recovery.” Despite a slow start to the year for housing construction and sales, Crowe predicted builder optimism to continue into 2015.

Dive Insight:

The HMI came out the same day as the Federal Reserve’s Beige Book, which showed tepid growth in the manufacturing sector as oil prices fall and the dollar strengthens against foreign currencies. A surge in residential construction could make housing this spring’s economic hero if it picks up some of the slack in the economy left by slow manufacturing activity.