US House Prices Fall in May

U.S. single-family home prices fell in May on a seasonally adjusted basis, falling short of expectations calling for a slight gain, a closely watched survey said on Tuesday.

The S&P/Case Shiller composite index of 20 metropolitan areas declined 0.3 percent in May on a seasonally adjusted basis. A Reuters poll of economists forecast a gain of 0.2 percent.

Non-seasonally adjusted prices rose 1.1 percent in the 20 cities, compared to an expectation of a 1.5 percent rise.

 
“Housing has been turning in mixed economic numbers in the last few months,” said David Blitzer, chairman of the index committee at S&P Dow Jones Indices, said in a statement.

“Prices and sales of existing homes have shown improvement while construction and sales of new homes continue to lag.”

Prices in the 20 cities rose 9.3 percent year over year, the slowest year-over-year gain since February 2013 and shy of expectations for a 10 percent climb.

The seasonally adjusted 10-city gauge fell 0.3 percent in May versus unchanged in April, while the non-adjusted 10-city index rose 1.1 percent in May compared to a 1 percent gain in April.

via Reuters

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza