A Snapshot of Economic and Housing Trends

first_img The Best Markets For Residential Property Investors 2 days ago Servicers Navigate the Post-Pandemic World 2 days ago Sign up for DS News Daily Demand Propels Home Prices Upward 2 days ago Governmental Measures Target Expanded Access to Affordable Housing 2 days ago Home / Daily Dose / A Snapshot of Economic and Housing Trends About Author: Radhika Ojha The Best Markets For Residential Property Investors 2 days ago Servicers Navigate the Post-Pandemic World 2 days ago Two reports released on Wednesday remain bullish on the U.S. economy. The U.S. Federal Reserve, which upgraded its economic outlook in a statement at the end of a Federal Open Market Committee (FOMC) meeting, kept the rates unchanged as it monitored the economy for inflation. A report to the Secretary of the Treasury from the Treasury Borrowing Advisory Committee of the Securities Industry and Financial Markets Association also highlighted strong economic growth in the second quarter. The report said that economic activity picked up during the quarter with 4.1 percent annualized real GDP growth, rebounding after a slowdown in growth in the first quarter of the year. “Over the past four quarters real GDP rose 2.8 percent, and growth is expected to remain strong over the remainder of 2018, with a continued fiscal boost after recently enacted tax and spending legislation,” the report to Secretary Steven Mnuchin said.The Fed, in its statement, said that the labor market continued to strengthen and economic activity rose at a strong rate. “Job gains have been strong, on average, in recent months, and the unemployment rate has stayed low. Household spending and business fixed investment have grown strongly,” the Fed said.According to the Treasury report, the two-year Treasury yield rose slightly as markets came to expect more monetary tightening from the Fed. “In contrast, the 10-year yield declined in May amidst concern about political developments in Italy and has remained in the 2.8-3 percent range in recent weeks, leading to a further flattening of the yield curve,” the report said.Are these changes in Treasury yields and a flattening yield curve likely to impact housing? While the report remained silent on the impact, it did mention that residential investment decreased during the quarter and taken together with a “recent decline in new home sales and existing home sales, housing momentum appears to have slowed down recently.”However, a strong consumer spending pattern boded well for the economy, the report indicated. “Consumer spending picked up in the second quarter, with real personal consumption expenditures growing at a 4 percent annualized rate,” the report found.   Subscribe Tagged with: consumers Economy Federal Reserve GDP Home Sales Homes HOUSING Inflation Treasury Related Articles Demand Propels Home Prices Upward 2 days agocenter_img Data Provider Black Knight to Acquire Top of Mind 2 days ago Previous: Home Prices Remain High, Continue Yearly Growth Next: Homebuyer Demand Cools Off August 1, 2018 1,705 Views The Week Ahead: Nearing the Forbearance Exit 2 days ago  Print This Post Data Provider Black Knight to Acquire Top of Mind 2 days ago Share Save in Daily Dose, Featured, Market Studies, News Governmental Measures Target Expanded Access to Affordable Housing 2 days ago A Snapshot of Economic and Housing Trends Radhika Ojha is an independent writer and copy-editor, and a reporter for DS News. She is a graduate of the University of Pune, India, where she received her B.A. in Commerce with a concentration in Accounting and Marketing and an M.A. in Mass Communication. Upon completion of her masters degree, Ojha worked at a national English daily publication in India (The Indian Express) where she was a staff writer in the cultural and arts features section. Ojha, also worked as Principal Correspondent at HT Media Ltd and at Honeywell as an executive in corporate communications. She and her husband currently reside in Houston, Texas. consumers Economy Federal Reserve GDP Home Sales Homes HOUSING Inflation Treasury 2018-08-01 Radhika Ojhalast_img read more