NEW YORK (Reuters) – New single-family home sales rose some-more than approaching in Apr and prices pushed higher, serve justification a housing market was branch a corner.
COMMENTS:
WILLIAM LARKIN, FIXED INCOME PORTFOLIO MANAGER AT CABOT MONEY MANAGEMENT IN SALEM, MASSACHUSETTS
“Today’s numbers we consider are indicating that housing is unequivocally in a bottoming proviso and benefiting from record low debt rates. The other partial of a equation, and what we are saying from a clients, is if we demeanour during a reduce finish of a marketplace people are holding advantage to implement it as a source of let income.”
ANDREW GRANTHAM, ECONOMIST, CIBC WORLD MARKETS, TORONTO
“The somewhat softened figure reflected both a crook miscarry during a stream month and some slight ceiling revisions to prior data. However, following a still pointy decrease in March, a underlying trend in new home sales given a start of a year stays broadly flat, following a light uptrend towards a finish of 2011. The fact showed that softened sales in a Northeast, Midwest and West were mostly equivalent by a weakening in a South. While this morning’s total were somewhat softened than expected, greeting should be singular as markets sojourn rapt with events and news upsurge out of Europe.”
SEAN INCREMONA, ECONOMIST, 4CAST LTD, NEW YORK
“The new homes sales information is most like what we saw from existent home sales yesterday. There is swell yet still during a light pace. It is still baby steps. This boost of 343,000 still comes in next that Feb high, that was substantially arrogant by weather. It does demeanour like we have found a bottom, that is encouraging, yet it is still unequivocally delayed swell during this point.”
SUBODH KUMAR, CHIEF INVESTMENT STRATEGIST, SUBODH KUMAR ASSOCIATES, TORONTO
“I don’t consider this adds anything new for a marketplace during this theatre since there was some denote housing was bottoming out from yesterday’s numbers.
“It’s certain in a clarity there have been several signs a vigour on housing is starting to abate. If new housing starts to collect up, it has a sequence outcome on a rest of a housing market.”
OMER ESINER, CHIEF ANALYST, COMMONWEALTH FOREIGN EXCHANGE, WASHINGTON
“It’s encouraging. These are signs that we competence be combining a bottom in housing. we would negligence a cost data, though. On yesterday’s existent home sales data, a arise in prices was lopsided by some technicalities. But it’s enlivening to see a supply of homes is falling. We’ll need to see housing seaside adult before we can speak about a suggestive liberation in a U.S.”
JACOB OUBINA, SENIOR U.S. ECONOMIST, RBC CAPITAL MARKETS, NEW YORK
“It is a small softened than expected, yet housing is still stranded in a rut here. Mortgage applications in a initial few weeks of this month prove we should sojourn around this turn here, if not somewhat lower. With all a news entrance out of Europe, this is unequivocally below-the-radar data.”
MARKET REACTION
STOCKS: U.S. bonds somewhat embellished progressing losses.
BONDS: U.S. Treasury debt prices confirmed their progressing gains.
FOREX: The dollar extended a gains contra a euro.
(Americas Economics and Markets Desk; +1-646 223-6300)
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