Today we have the release of Existing Home Sales data. Pending Home Sales increased last month by 0.4% and is a leading indicator whereas Existing Home Sales represent the close of the contract, which tends to occur a month or two later. The U.S. housing market has shown some signs of improvement and the result for Existing Home Sales today is expected to be positive.
Trading Event: Existing Home Sales 1400 GMT
- April’s Existing Home Sales increased by 1.3% from 4.59 million to 4.65 million.
- Pending Home Sales increased by 0.4% in April from a rise of 3.4% in March.
- An economist from the National Association of Realtors highlighted that: “higher inventory levels,” a “decline in mortgage rates” and an increase in “confidence” would translate to growth in the U.S. housing market.
- Existing Home Sales for May are forecasted to rise by 1.1% from 4.65 million to 4.74 million.
- Banc De Binary analysts predict that there will be an increase in existing home sales, indicating a potential upward movement in the USD/JPY.