I really need to rouse myself to write a long-form piece on interest rates, housing, and the economy to post over at Seeking Alpha. Ugh! In the meantime, here are a few quick hits on some important or noteworthy new data.
1. New home sales – interest rates bite, but don’t panic
New home sales are the most leading, but most noisy, of housing data. Yesterday they were reported as having declined -18.3% to 775,000 annualized, a 9 month low, and 204,000 below their July peak (blue in the graph below):
For comparison, the much less volatile single family permits declined -9.8%, and remains above every other month in the past 10 years except for December and January.