k.b. homes up after reporting better than expected earnings and increased their average home price.ly? >> why would -- we all thought two years ago that housing starts might go up, because interest rates are high, but that didn't happen. why is it happening now? >> it's happening now because the builders have more supply. remember, when interest rates are staying higher for longer, it's not just for the home buyer, it's for the builders who need to borrow from their local banks to build the homes. the big builders, they don't have that trouble as much because they can get their capital elsewhere. for many of the smaller to mid-sized builders, highest interest rates means they can't keep building. they can't build homes that are lower priced. so they're only building more expensive homes. to get prices down, you need interest rates lower for the buyer and for the builder. >> diana, thank you very much. good to check in with you. see you next hour. >>> my next guest says rates have been too high for too long and the economy feels vulnerable right now and expecting the fed to cut two t