EconUpdate by P. Duffy
Existing home sales rise 2 percent in July and 1.5 percent year-on-year
Existing-home sales rose 2% on a seasonally adjusted annual rate from June to July, with no sales declines showing in any regions. The inventory of unsold homes increased 7.3% to 1.32 million from June to July – equivalent to 2.6 months of the monthly sales pace. The median existing-home sales price rose at a year-over-year pace of 17.8%.
August PMI Output Index slips to 55.4 as businesses face capacity constraints
Adjusted for seasonal factors, the IHS Markit Flash U.S. Composite PMI Output Index posted 55.4 in August, down sharply from 59.9 in July. The rate of output growth slowed for the third month running from May’s series high. The pace of expansion in business activity was also the slowest seen in 2021 so far as service providers and manufacturers reported greater constraints on capacity.
July Leading Economic Index rises another 0.9 percent, indicating strong growth in second half of 2021
The Conference Board Leading Economic Index® (LEI)for the U.S. increased by 0.9 percent in July to 116.0, following a 0.5 percent increase in June and a 1.2 percent increase in May. The Leading Index’s overall upward trend, which started with the end of the pandemic-induced recession in April 2020, is consistent with strong economic growth in the second half of the year.