S&P/Case Schiller HPI (Feb) Actual -18.6%, Expected -18.9%, Previous -19.0%
Release Explanation: This is a report on monthly home prices of existing single family homes. The report is an index of prices rather than the prices themselves and covers 10 city and 20 city composites. Housing reports are especially important at this time, given the state of the economy and financial markets. “A happy householder will usually lead to a strong economic outlook. A miss here, either way, and the Markets gets to see the real confidence of the US consumer”, TheLFB-Forex.com Trade Team members said. There is a very strong impact on the sentiment towards the US Dollar from this report.
Trade Desk Thoughts: Prices for existing single-family homes in 20 metropolitan areas fell 18.6% in the year to February, according to the latest report from the S&P/Case-Schiller Home Price Index. The number beat analysts’ expectations and shows that the pace of decline slowed slightly.
As painful as it is, the only way out of the housing crisis is to let prices fall to the point where they can meet demand, said TheLFB-Forex.com Trade Team members We're already seeing demand for housing increase in the hardest-hit areas such as parts of California and Florida.
Ten of the twenty metropolitan areas showed record rates of decline and fifteen reported declines in excess of 10%.
Forex Technical Reaction: S&P futures were unchanged after the report but are down significantly indicating a lower open on Wall Street. The dollar was unaffected by the release and is continuing to give back gains made overnight.