Published: 2025-02-27T15:13:27.000Z
U.S. January Pending Home Sales - Very weak, but may soon stabilize
Senior Economist , North America
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Pending home sales with a 4.6% January decline have seen a second straight steep decline, taking the index below the low seen at the height of the pandemic in April 2020, more than fully reversing the four straight gains in the months to November.
The recent decline reflects fading expectations of Fed easing with bad weather probably playing a part, particularly in the South which plunged by 9.2% in January. The earlier gains were supported by Fed easing.
It remains to be seen whether recent declines in long-term rates provide some support. Given that the level is now very low, there is probably not much further downside scope.
