US: Pending home sales data likely on a solid footing – Nomura

FXStreet (Delhi) – Research Team at Nomura, suggests that the market for existing homes has gained momentum this year.

Key Quotes

“Favorable fundamentals—such as demographics, an improving labor market and income growth, and low mortgage rates—suggest we should see a continued recovery in housing. However, the limited supply of for-sale homes could create some headwinds in the near-to-medium term. The pending home sales index leads existing home sales by a couple of months and should give us an indication of the pace of existing home sales in December. Consensus forecasts a 0.6% increase in the pending home sales index for November.”