US housing-related stocks plunged Wednesday as investors digested disappointing forecasts from major retailers and the absence of housing policy details in President Trump's State of the Union address. Lowe's Cos Inc. led the decline after issuing a grim outlook that rattled the entire home improvement sector. The market reaction spread quickly to other housing-exposed companies.

The sell-off reflects growing investor anxiety about the housing market's trajectory amid economic uncertainty. While Trump's speech touched on various economic themes, the lack of specific housing initiatives left investors wanting more concrete policy direction. This absence of guidance particularly stung given the sector's recent struggles with high interest rates and affordability challenges.

Housing stocks have been under pressure for months as mortgage rates remain elevated and home sales slow. The latest market reaction underscores how sensitive the sector remains to both corporate earnings forecasts and government policy signals. With no immediate relief in sight from either company guidance or federal action, the housing sector appears poised for continued volatility.