U.S. New Home Sales Actual 352k, Expected 363k, Previous 351k
Release Explanation: Annualized number of new single-family homes that were sold during the previous month Important since the housing market is included in most economic forecasts including Retail Sales, CPI, and PCE in the US. A happy householder will usually lead to a strong economic outlook. A miss here, either way, and the Market gets to see the real confidence of the US consumer. There is a very strong impact on the sentiment towards the US Dollar from this report.
Trade Desk Thoughts: Sales of new, single-family homes rose to a seasonally adjusted annual rate (SAAR) of 352,000 in April, the Census Bureau and Department of Housing and Urban Development said today, a 0.3% increase from March's 351,000 annual pace.
In the year to April, sales have declined by 34%. Sales last year were at a 533,000 seasonally adjusted annual rate.
The median sales price of new houses sold in April 2009 was $209,700. The supply of new homes on the market for sale was estimated to be 297,000 or 10.1 months of supply at the current sales pace.
Forex Technical Reaction: Equity markets moved higher at the open but have reversed and are trading below the breakeven line. The dollar has strengthened overall since the release.