INSTANT VIEW: Single-family home prices plunge in September

NEW YORK (Reuters) - Prices of U.S. single-family homes plunged a record 16.6 percent in August from a year earlier, according to the Standard & Poor's/Case-Shiller Home Price Indices.

KEY POINTS: * The composite index of 20 metropolitan areas fell 1.0 percent in August from July, S&P said in a statement on Tuesday. * S&P said its composite index of 10 metropolitan areas declined 1.1 percent in August from July for a 17.7 percent year-over-year drop, also a record. * The acceleration in decline, however, was only moderate in August, S&P said.

COMMENTS:

PETER KENNY, MANAGING DIRECTOR, KNIGHT EQUITY MARKETS, JERSEY CITY, NJ:

The results are in line, and part of a growing consensus that CaseShiller numbers are indicating that the worst of the housing collapse is over. It indicates that the projected weakness of the market is a known variable, not a question mark. That's good for the market. It is one piece of the puzzle, part of today's mosaic, and it's a constructive piece.

RON SIMPSON, DIRECTOR, FOREIGN EXCHANGE RESEARCH, ACTION ECONOMICS, TAMPA, FLORIDA:

"Forget about it. The market is not focused on Case-Shiller. At best it is a not-widely-followed release and given the credit and equity markets and massive volatility in the foreign exchange market, traders will disregard this report in a hurry."

MARKET REACTION: STOCKS: U.S. equity index futures hold gains after data. BONDS: Treasury debt prices little changed. DOLLAR: U.S. dollar unchanged.