MetroIntelligence Economic Update by P. DUFFY
Pending home sales flat in April, down 20.3 percent year-on-year
The Pending Home Sales Index (PHSI) remained at 78.9 in April, posting no change from the previous month. Year over year, pending transactions dropped by 20.3%. The Northeast PHSI dropped 11.3% from last month to 59.1, a decrease of 21.8% from April 2022. The Midwest index improved 3.6% to 78.4 in April, down 21.4% from one year ago. The South PHSI increased 0.1% to 99.6 in April, sinking 16.7% from the prior year. The West index augmented 4.7% in April to 62.2, sliding 26.0% from April 2022.
April new home sales surprise with 4.1 percent rise, prices decline
Sales of new single‐family houses in April 2023 surprised to the upside to a seasonally adjusted annual rate of 683,000, up 4.1 percent from March and 11.8 percent year-on-year. The median sales price of new houses sold in April 2023 was $420,800, down 7.7 percent from March and 8.2 percent year-on-year. The seasonally‐adjusted estimate of new houses for sale at the end of April was 433,000. This represents a supply of 7.6 months at the current sales rate, which compares with 7.9 months in March, 8.5 months in April 2022, and is the lowest supply timeline since March 2022, when it was 7.0 months.
May U.S. economic output index rises to 55.1, fastest growth in 13 months
Companies in the US registered a solid upturn in business activity during May, according to the latest ‘flash’ PMI™ data from S&P Global. Overall growth in output was the fastest for just over a year, rising from 53.6 in April to 55.1 in May. The expansion was led by service providers, however, as manufacturers recorded only a slight rise in production.