Sales of new U.S. single-family homes fell to an eight-month low in June and data for the prior month was revised sharply lower.
The Commerce Department said on Wednesday new home sales decreased 5.3 percent to a seasonally adjusted annual rate of 631,000 units last month, the lowest since October 2017. May’s sales was revised down to 666,000 units from the previously reported 689,000 units.
The slow down in housing is largely driven by supply constraints but concerns may start mounting that weakness could eventually spill over to the broader economy which is still showing strength.
Stocks are up on Wednesday trading after the news release and the S/P500 is inching higher well above 2,800.