theGrio and CNBC Market Update: 7/29/13
Investors digested several economic reports last week. We had mixed news on housing.
Sales of previously owned homes fell more than 1 percent in June. However, prices rose 5.5 percent. New home sales rose to their highest level in five years, gaining more than 8% and new claims for jobless benefits rose by 7,000 to 343,000, but still below a key threshold. In the week ahead we expect jobs, consumer spending and housing data.
Where are the jobs? We’ll find out with the July employment report. In June the unemployment rate held steady at 7.6 percent as 195,000 jobs were created. Leisure and hospitality and professional and business services added the most jobs. African American unemployment increased to 13.7 percent, while black teen unemployment rose to 43.6 percent, remaining by far, the highest of any group.
We’ll check on consumer finances with the June Personal Income report. In May wages and spending rebounded. Wages rose a .5 percent. While consumer spending increased by .3 percent, fueled by auto sales and apparel purchases.
We’ll get a read on housing with the May Case-Shriller Home Price Index report, which tracks price changes in twenty metro areas such as Atlanta, Chicago and Dallas. In April home prices jumped more than 12 percent compared to a year ago, the biggest increase in seven years.