StatsCan reported today that real gross domestic product (GDP) rose 0.7% in March, following a 0.9% expansion in February. Broad-based increases across most sectors were led by client-facing industries. Both services-producing (+0.6%) and goods-producing (+0.9%) industries were up, as 14 of 20 industrial sectors expanded in March.
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U.S. Home Prices Post 20.6% Year-Over-Year Gain in March 2022
On Tuesday, S&P CoreLogic Case-Shiller released its U.S. National Home Price NSA Index for March. The Index, which covers all nine U.S. Census divisions, reported that home prices experienced a 20.6% annual gain in March. The increase follows a 20.9% annual gain in February and a 19.1% annual gain in January.
The Conference Board’s Consumer Confidence Index Drops Month-Over-Month in May 2022
The Conference Board released today (5-31-22) their Consumer Confidence Index® (CCI) for May 2022. The CCI declined slightly in May, following an upward revision in April’s initial report. The Index now stands at 106.4 (1985=100), down from 108.6 in April. The Present Situation Index dropped from 152.9 in April to 149.6 in May.
One Out of Five Home Sellers Has Reduced Their Price to Attract Buyers—Highest Level Since October 2019
During the four-week period ending on May 22, nearly one out of every five (19.1%) home sellers reduced their price, the highest level since October of 2019. Measures of competition—including the typical listing’s time on market, the share of homes pending sale within one week, and the share of homes sold above list price—have all plateaued.
Personal Income, Disposable Income, and Personal Consumption Expenditures All Increased in April 2022
The U.S. Bureau of Economic Analysis reported on Friday that according to their estimates, personal income increased $89.3 billion, or 0.4%, in April. Disposable personal income increased $48.3 billion, or 0.3%, in April. Personal consumption expenditures increased $152.3 billion, or 0.9%, in April.
University of Michigan Final Consumer Sentiment Index Declines for May 2022, Erasing All of April’s Gains
The University of Michigan today (Friday 5-27-22) released its final Consumer Sentiment Index (CSI) for May. The Index of Consumer Sentiment dropped to a reading of 58.4, down from April’s reading of 65.2. This is a month-over-month decrease of -10.4% and down -29.6% year-over-year (82.9 in May 2021).
US Single-Family Homes Continue to Have a Smaller Footprint
The U.S. Census Bureau’s Quarterly Starts and Completion by Purpose and Design for Q1 of 2022 reveals that the median single-family square foot floor plan is now down to 2,310 sq. ft., while the average (mean) square footage for a new single-family home decreased to 2,512 sq. ft.
Pending Homes Sales Decline for Sixth Consecutive Month in April, Falling -9.1% Year-Over-Year
The National Association of Realtors® reported on Thursday their Pending Homes Sales Index declined -3.9% in April to a reading of 99.3. This marks the sixth consecutive monthly decrease in contract activity. Year-over-year, contract signings have declined -9.1%. Three out of the four major regions reported declines.
BEA Reports Real GDP in Q1 of 2022 Decreased at an Annual Rate of -1.5% In Its “Second Estimate”
The Bureau of Economic Analysis released today its “second estimate” of real gross domestic product (GDP) for Q1 of 2022. According to the report, real GDP in Q1 declined at an annual rate of -1.5%. This follows a 6.9% increase in GDP in Q4 of 2022. The GDP estimate released today is based on more complete source data.
30-Year & 15-Year Mortgage Rates Move Lower in the Week Ending May 26, 2022—The Second Consecutive Decline
Freddie Mac has released its Primary Mortgage Market Survey (PMMS) for the week ending May 26, 2022. The PMMS reports that the 30-year fixed-rate mortgage averaged 5.10% with an average 0.9 point, down from last week when it averaged 5.25%. A year ago, at this time, the 30-year FRM averaged 2.95%.