The housing slump caused by the end of the tax credits may be over, with sales of new homes rising 24 percent in June compared to May to an annual rate of 330,000, the U.S. Commerce Department reported Tuesday.
Nevertheless, sales were at their second-lowest rate since 1963 – May’s were the lowest.
“The future is going to be dependent on job growth. There’s no demand because confidence is weak and employment is weak,” says Eric Green, chief market economist at TD Securities Inc. in New York.
Source: Bloomberg, Courtney Schlisserman (07/26/2010)