The Fed will be discussing financial matters on Wednesday and Thursday, and, although a change in interest rates is unlikely, economists will be paying much attention to the Federal Reserve’s statement, to be issued at the end of the meeting. With inflation at an annual rate of 2.2, chances for a rate cut seem to be non-existent, as the Fed aims to contain inflation in the 1 to 2% range. The official statement, however, will have a considerable impact on the market’s performance.
Other statistics to be reported this week include existing home sales, new home sales, a survey of consumer sentiment, and a revision of the Gross Domestic Product. All this should provide a clearer picture of the current economic situation, and some insight into the housing market’s near future. Most publications indicate serious pessimism in regard to Real Estate and predict that more bad news is on the way.
Home builders Lennar Corp. and KB Home will be reporting quarterly results this week. Home builders are generally suffering losses in the current market, as both sales and prices decline and homes stay on the market for months, so their reports will provide valuable information on housing as well.
No comments:
Post a Comment