Forex4you - Analytics

    Forex4you

    550.75 6.50/10
    60% of positive reviews
    Real

    S&P Сase-Shiller home price index is coming up

    The US housing market is generating mixed signals this year. Strong reports are replaced by the weaker ones. Last week, for instance, existing home sales exceeded forecasts, while the report on new home sales disappointed. Today we will have another opportunity to understand the state of health of this important sector of the US economy. On The American session Standard & Poor’s rating agency will publish the Case-Shiller national home price index for the month of May.

    While keeping its positive trend of 2012-2015, the index has reached a new seven-year high at 177.01 pips in April (see the Chart). Nevertheless, despite this improvement, the indicators hasn’t fully recovered to its pre-crisis 2006-2007 levels.  To reach 2006 highs there’s still 14.3% to go. Let me remind you, that the biggest drop in the S & P Case-Shiller from its pre-crisis peak was registered in March 2012 and amounted to 35.1%.

    united-states-case-shiller-home-price-index28-7-15

    In addition, let’s not forget, that in spite of continuing growth, the growth rate in 2015 (4.5% – 5.0% y/y) is significantly lower than in the second quarter of 2013 to the first quarter of 2014 inclusive, when the indicator rose by more than 12% y/y. However, considering zero consumer inflation the five-percent increase in home prices does not look that weak.

    I hope that in May, the S&P Sase-Shiller index rose by at least 4.5% y/y.

     

    Dear traders, please post your comments to our forecasts and share your own opinion. Your ideas can be very helpful for the newcomers in the forex market. Thank you!

    The US housing market is generating mixed signals this year. Strong reports are replaced by the weaker ones. Last week, for instance, existing home sales exceeded forecasts, while the report on new home sales disappointed. Today we will have another opportunity to understand the state of health of this important sector of the US economy. On The American session Standard & Poor’s rating agency will publish the Case-Shiller national home price index for the month of May.

    While keeping its positive trend of 2012-2015, the index has reached a new seven-year high at 177.01 pips in April (see the Chart). Nevertheless, despite this improvement, the indicators hasn’t fully recovered to its pre-crisis 2006-2007 levels.  To reach 2006 highs there’s still 14.3% to go. Let me remind you, that the biggest drop in the S & P Case-Shiller from its pre-crisis peak was registered in March 2012 and amounted to 35.1%.

    united-states-case-shiller-home-price-index28-7-15

    In addition, let’s not forget, that in spite of continuing growth, the growth rate in 2015 (4.5% – 5.0% y/y) is significantly lower than in the second quarter of 2013 to the first quarter of 2014 inclusive, when the indicator rose by more than 12% y/y. However, considering zero consumer inflation the five-percent increase in home prices does not look that weak.

    I hope that in May, the S&P Sase-Shiller index rose by at least 4.5% y/y.

     

    Dear traders, please post your comments to our forecasts and share your own opinion. Your ideas can be very helpful for the newcomers in the forex market. Thank you!


    To leave a comment you must or Join us


    By visiting our website and services, you agree to the conditions of use of cookies. Learn more
    I agree