Markets in a Minute

Here’s a brief update on this week’s housing and financial market activity.

The Economy

• In his bi-annual testimony before Congress, Fed Chair Powell hammered home the message that the Fed is not done raising rates to fight inflation.
• Jobless claims held steady at a 20-month high, remaining elevated for a 3rd straight week and signaling the labor market may be softening.
• Consumer sentiment rose 8% last month to the highest level in 4 months, reflecting greater optimism about inflation and the economy.

Housing News

• Single-family homebuilding projects surged 21% in May, the most in more than 3 decades. Permits for future construction also climbed.
• Existing home sales barely moved from April to May, rising 0.2%. Sales were 20% lower than a year ago amid a critical inventory shortage.
• Total mortgage application volume increased 0.5% last week. Purchase apps increased 2% for the week despite dropping 40% year over year.

The Last Word

“In the middle of every difficulty lies opportunity.”
–Albert Einstein