IHS U.S. economist Patrick Newport talks about the much lower-than-expected New Home Sales report, as well as the unexpected release of the Fed staff report. Bobbi Rebell reports.
I'm sales coming in much weaker than expected at a seven month left here in more IA test economist Patrick you are great to see it. Good afternoon are it may cells were also revised lower to say so what exactly is going on here. Well it was single family market much has changed. These numbers I would I would not put too much stock and on the just every camera the report was statistically insignificant. What's happening musical family markets a continuation of what we've seen the last four years slow. Improvements. But yet I mean we had a much slower than expected decline of six point 8% in May was revised lower mean. That does say something doesn't that. Which usually. Picture. Yet and lowered the equipment. The market. What. Is wrong. So. That thought isn't. That what. Mark is. Out. Its plan. Antique fair we did get better numbers earlier in the week from existing home sales sales at encouraging data I'm building permits and housing starts so. What's your overall assessment of the housing market that. And to market single woman how remarkable that Al market's doing very well in the markets continuing her Little League single worker. Heard the watch. Is slowly edging him so yeah. But the good news and bad news is getting better very quickly. And carries your thoughts on the impact that young adults millennial in particular have been on the housing market especially. As they start to get warmer jobs in form households. Well how does end here aren't. We are very. So are two reasons one student that is because our job job there aren't. That people got yours. Or ten. So what is the big takeaway from what we basically all the hot and oppression we got this week. It. To grow. Forward. It. Oh. I. I also wanna talk about today the Fed accidentally released its staff forecast. What did we learn and how does that impact the markets. Well. Think we should take too much attention those numbers for the simple reason that the GDP numbers are you your vice next week. And this cat is gonna have to re calculate to numbers. And Wendy can you GDP right now they're big problems with GDP it's probably understating growth. Next week we're gonna find that the economy is probably doing better than it has for the last three years or were sky that that's the DEA's gonna tell us don't look at GDP. Look at both income and GDP either coming up what that news statistic that's an average that you. And that number will tell us that the economy is doing better than the GDP numbers have indicated they're gonna probably tell us that. That that they're going to be that the economy's doing as well its employment numbers are telling us which is. Not great but my dad. I believe that thank you so much there. I think Tia Patrick Newport I just somebody rebel this is Reuters.