Preview: Due March 10 - U.S. February Existing Home Sales - Extending a sharp January decline
We expect February existing home sales to fall by 0.8% to extend a sharp 8.4% January decline, to a level of 3.88m, which would be the lowest since October 2010. This would follow a 0.8% decline in January pending home sales, which extended a sharp 7.4% December decline.
The NAHB homebuilders’ index, which had been trending higher through December, slipped in January and February. Fading hopes for near term Fed easing may have contributed to the slippage.
Bad weather may be a factor restraining February sales, particularly in the Northeast. We expect February to see declines in three of the four regions, the exception being the West which has scope for a correction from a particularly steep January decline.
We expect the median price to show a seasonal gain of 1,0% on the month to follow a 2.0% decline in January. This would leave yr/yr growth at 1.0%, up only marginally from 0.9% in January.