theGrio and CNBC Market Update: 9/24/13
VIDEO - Last week, all eyes were on the FED, which surprised investors by keeping its bond buying program in place to help stimulate the economy...
Last week, all eyes were on the FED, which surprised investors by keeping its bond buying program in place to help stimulate the economy. It was also a big week for housing data. Housing starts increased nearly 1 percent in August led by single-family home construction. Sales of previously owned homes rose 1.7 percent, to its highest level in six years. In the week ahead, we expect data on GDP, home prices and income.
We’ll gain insight on the economy with the final estimate of second quarter GDP, which looks at all the goods and services produced from April through June. The second estimate showed the economy grew by 2.5 percent, much faster than expected, boosted by exports and business investments.
We’ll get a read on housing with the July Case-Shiller Home Price Index report, which tracks price changes in twenty metro areas such as Atlanta, Detroit and Miami. In June home prices rose 12.1 percent compared to a year ago. Las Vegas and San Francisco saw some of the biggest gains.
We’ll check on consumer finances with the August Personal Income report. In July wage growth and consumer spending slowed, both increasing by only .1 percent as consumers cut back. This may pose a threat to growth during the second half of the year.
