Pending home sales in the United States fell 0.8% in June, but gold still has little chance to breathe
2025-07-30 22:50:49
The National Association of Realtors announced on Thursday that its pending home sales index fell 0.8% in June. This data fell short of consensus expectations, as economists had expected the index to rise 0.2%.
Pending home sales fell 2.8% compared to the same period last year, the report said.
“The data shows that despite an increase in market inventory, contracts signed continue to decline slightly,” said Lawrence Yun, chief economist of the National Association of Realtors. “Pending sales contracts rose slightly in the Northeast, even though the region saw the highest price increases in the nation.”
Yun added that optimism is growing in the housing sector that the market has bottomed.
"Real estate agents are optimistic about an increase in home buying and selling activity. This confidence is supported by the fact that mortgage applications have been rising," he said.
The disappointing housing data did not have much impact on the gold market as better-than-expected labor market data and solid economic growth in the second quarter weighed on the precious metal.
Gold managed to hold onto key support around $3,300 an ounce. Spot gold last traded at $3,305.60 an ounce, down 0.58% on the day.
(Source of spot gold daily chart: Yihuitong)
Economists closely watch the pending home sales data because it is a leading indicator of existing home sales - contracts signed on homes typically precede actual closings by several months.
The U.S. housing market has been trying to stabilize after significant weakness over the past two years, as rising home prices and higher mortgage rates have priced out many potential buyers.
Pending home sales fell 2.8% compared to the same period last year, the report said.
“The data shows that despite an increase in market inventory, contracts signed continue to decline slightly,” said Lawrence Yun, chief economist of the National Association of Realtors. “Pending sales contracts rose slightly in the Northeast, even though the region saw the highest price increases in the nation.”
Yun added that optimism is growing in the housing sector that the market has bottomed.
"Real estate agents are optimistic about an increase in home buying and selling activity. This confidence is supported by the fact that mortgage applications have been rising," he said.
The disappointing housing data did not have much impact on the gold market as better-than-expected labor market data and solid economic growth in the second quarter weighed on the precious metal.
Gold managed to hold onto key support around $3,300 an ounce. Spot gold last traded at $3,305.60 an ounce, down 0.58% on the day.
(Source of spot gold daily chart: Yihuitong)
Economists closely watch the pending home sales data because it is a leading indicator of existing home sales - contracts signed on homes typically precede actual closings by several months.
The U.S. housing market has been trying to stabilize after significant weakness over the past two years, as rising home prices and higher mortgage rates have priced out many potential buyers.
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