Aug 10 2009
June pending home sales up 3.6 percent
The market is taking this as fairly good news, and as long as it does that and ignores bad news, you have to look at it as the market wanting to go higher. The market has been overbought for some time now, but when it ignores situations where it might want to correct and go down, you have to look at it as a positivePending sales of previously owned U.S. homes rose at a faster-than-expected pace in June, advancing for the fifth straight month for the first time in six years, a real estate trade group said on Tuesday.
The National Association of Realtors said its Pending Home Sales Index, based on contracts signed in June, rose 3.6 percent to 94.6. May’s index was revised upwards to 91.3 from 90.7, while the percentage increase was bumped up to 0.8 percent from 0.1 percent.Analysts polled by Reuters had forecast pending home sales to rise 0.6 percent in June. Pending sales were up 6.7 percent in June compared to the same period last year.
This is good news because we’re starting to get to a level that is well above the year-ago pace. The recovery from the intervening crash is now more than complete and the chances of moving into new higher territory are greater.
