Published: 2024-07-31T14:11:44.000Z
U.S. June Pending Home Sales correct from a very weak level
Senior Economist , North America
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June pending home sales have seen a significant correction higher by 4.8% after losses of 1.9% in May and 7.7% in April. This may have been supported by easing longer term rates as the market increasingly prices in Fed easing.
Pending home sales are designed to predict existing home sales but this rise in pending home sales does not clearly signal a bounce in existing home sales, with the recent dip in pending home sales having underperformed existing home sales.
May pending home sales were exceptionally weak, falling below levels seen at the height of the pandemic in 2020. After the correction higher, June existing and pending home sales levels now look fairly consistent.
