U.S. existing home sales were stronger than expected in November
U.S. existing home sales were stronger than expected in November. Analysts saw a 1.9% gain to 5.32 M after a 1.4% October gain to 5.22 M, following declines in the prior six months. Sales fell sharply in the West, likely owing to the California fires, but rose in all other regions. Analysts expect a 1.8% growth rate for existing home sales in Q4 after a 10% Q3 contraction rate and a 6.6% Q2 contraction rate. For the year, analysts expect sales to fall 3%. Analysts saw a 1.0% November median price gain to $257,700, while inventories fell 5.9% but posted a 4.2% y/y gain, a fourth straight y/y increase. The months supply was 3.9, compared to 4.3 in October. Analysts expect no net revision in the 3.5% Q3 GDP growth rate and expect a 3.0% pace in Q4, with "real" residential construction growth of a hurricane-boosted 2%, after an estimated -3.2% (was -2.6%) residential figure in Q3. Analysts expect growth for "real" nonresidential construction of 3% in Q4, after an estimated -3.1% (was -1.7%) figure in Q3. Analysts expect growth for real government purchases of 3.2% in Q4, after a 2.6% Q3 clip.