Existing home sales rose by 6.5% M/M to 4 740 000 in December, while a decline to 4 400 000 was expected. The November data were downwardly revised from 4 490 000 to 4 450 000. Looking at the details, single family homes grew by 7.0% M/M and condos increased by 2.1% M/M. Months supply dropped from a record high of 11.2 to 9.3. Both median ($175 400 from $180 300) and average ($216 000 from $223 000) prices continued their decline. These data might indicate that signs of stabilisation are appearing in the market of existing homes after the sharp decline in the previous months.
US leading indicators rose by 0.3% in December after falling by 0.4% in November. This is clearly above the consensus estimate of -0.2%. The rebound was led by a large positive contribution of M2 money supply and the interest rate spread also contributed positively to the index. Average workweek, jobless claims, pace of deliveries and building permits extended their decline.
