U.S Pending Home Sales Improved in June

Americans signed more contracts to buy homes in June, snapping a three-month decline in pending sales.

The National Association of Realtors says that its pending home sales index rose 1.5 per cent in June to 110.2. The gain still puts the pace of contract signings below its March level. The index has increased just 0.5 per cent over the past 12 months.

But the increase is unlikely to cause a burst of home-buying. Prices are climbing faster than wages while number of homes listed for sale has plunged. There were 1.96 million homes for sale in June, a 7.1 per cent decline from a year ago.

Pending sales contracts are a barometer of future purchases. A sale is typically completed a month or two after a contract is signed.

National Post

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.

Dean Popplewell

Dean Popplewell

Vice-President of Market Analysis at MarketPulse
Dean Popplewell has nearly two decades of experience trading currencies and fixed income instruments. He has a deep understanding of market fundamentals and the impact of global events on capital markets. He is respected among professional traders for his skilled analysis and career history as global head of trading for firms such as Scotia Capital and BMO Nesbitt Burns. Since joining OANDA in 2006, Dean has played an instrumental role in driving awareness of the forex market as an emerging asset class for retail investors, as well as providing expert counsel to a number of internal teams on how to best serve clients and industry stakeholders.
Dean Popplewell