(with Max Hoelzl,Joel Dresang, engineered by Jason Scuglik)

The National Association of Realtors reported increased demand for housing in November, though it remained historically low. The trade group reported its pending home sales index rose 3.3% in from October and was 2.6% ahead of the year before. It was the highest seasonally adjusted reading since February 2023, the group said, but it was still more than 20% below what it considers to be normal activity. The Realtors said lower mortgage rates and wages rising faster than inflation were making housing more affordable while greater inventory was attracting more buyers.

Housing inflation continued to slow in October, staying below overall inflation. The S&P Cotality Case-Shiller national index rose 1.4% from its year-earlier measure. The pace was essentially unchanged from September and marked the lowest price growth since mid-2023, just as the Federal Reserve Board had started boosting interest rates to tamp down inflation. Unadjusted for seasonal fluctuations, monthly home prices declined in 16 of the 20 metropolitan markets followed closest by the index. Analysts for S&P observed “broad stagnation as high mortgage rates weigh on affordability and suppress price momentum.”

The four-week moving average for initial unemployment claims rose for the third time in four weeks but stayed 40% below its 58-year average, suggesting ongoing tightness in the job market. The Labor Department reported that total claims – including ongoing cases – surpassed 2 million in the latest week, up more than 6% from the previous week and up more than 2% from the year before.

Markets and government offices closed for New Year’s

No significant releases