Bears Make Their Move on Housing Data
The U.S. stock markets had a pullback today on disappointing Existing Home Sales data. The Dow dropped 56 points, the S&P lost 12 and the Nasdaq ended the day 15 points in negative territory.
Treasury bonds finished higher today, as traders are still fearful of the housing market. The 10-year Note yield dropped 5 basis points from last week to close with a yield of 4.58%.
The Existing Home Sales figure was the big news on Wall Street today. Although the number came in near expectations, it still wasn’t a cause for celebration. The inventory of unsold homes hit a 16-year high, meaning that at the existing rate, there is a nine month supply of unsold homes on the market.
In overseas trading, the Nikkei gained .32% while the Hang Seng added 2.86% in its last trading session.
Tomorrow, we look forward to Consumer Confidence, as well as the FOMC minutes.
Economic Data Scheduled for Tuesday, August 28, 2007
(All times in U.S. Central Time)
U.S.
9:00 AM: Consumer Confidence for August (Consensus 104.5)
1:00 PM: FOMC minutes from August 7th meeting
Great Britain
None
Canada
None
European Union
3:00 AM:(Germany) IFO-Business Climate for August (Consensus 105.2)
Japan
None
