The housing sector continues to be a bright light for the U.S. economy due in part to ultra-low rates. Fannie Mae reports that its Home Purchase Sentiment Index (HPSI) rose by 3.7 points to 77.7 in January from December. The GSE (government-sponsored-entity) said that consumers reported a significantly more positive view of home-selling conditions month over month. Annually, the HPSI is down 15.3% Those who say it is a good time to buy a home remained unchanged at 52% while respondents who say it is a good time to sell a home jumped from 50% to 57%.
Over in the U.S. stock markets, strong earnings, an improving labor market and economy, the uptick in vaccinations coupled with more state economies reopening have been fueling record high stock prices. Both virus cases and death rates are lower though there are new virus variants, reports the New York Times. If the country can continue to see COVID loosen its grip on the economy, it could be the biggest stimulus received. The closely watched S&P 500 stock index hit a record intraday high today of 3,909.
The economic calendar is on the light side this week with the inflation reading Consumer Price Index on Wednesday. Fed Chair Powell will be speaking at the Economic Club of New York on Wednesday, but we do not see any new rhetoric after his recent press conference in late January.
Home purchase sentiment increases. U.S. stocks hit fresh record highs. Fed Chair Powell to speak this week.
