October’s USA existing home sales surged to a record of nearly 10 years, sales record an annual rate of 5.60 million, an increase of 5.9% compared to October 2015.
This is the highest figure since February 1997.
The sales also surpassed the original forecast of 5.42 million.
The trading in most Asian markets is rising at the start of the new trading week, at the background of the strengthening the US dollar since the election of Donald Trump for president of the United States two weeks ago,
There are expectations in the market that Trump will lead an economic policy that will lead to a rise in inflation in the US.
The chairman of the US Federal Reserve, Janet Yellen said yesterday in her testimony before the US Congress tha the election of Donald Trump to be the president of the United States has not changed the plans of the Federal Reserve to raise interest rates “relatively soon”
Yellen also said that the economic data currently justify higher interest rates and that if there would be no dramatic changes, the interest rates will continue to rise gradually after that.
The US weekly jobless claims came to 235 thousand.
This figure is the lowest in 43 years and represents the continued improvement in the labor market in the last eight years.
The figure is also lower than the economists’ forecasts had expected jobless claims of 255 thousand.
The US inflation data released today indicate the sharpest increase in the CPI in the US for six months.
The increase was recorded mainly due to increased fuel prices and rents, and it seems that the Fed was waiting for those data to be able to start raising the interest rates again in December – a year after it raised last time.
According to Labor Department data, the US consumer prices in October rose by 0.4% compared to September, and at an annual rate of 1.6%.
This is the sharpest annual increase since October 2014.
In September, the index increased by 0.3%
Another statistic that may delay the interest rate in the US is the core inflation, the CPI excluding energy and food, which is the main measure pursued by the Federal Reserve.
The core’s inflation rose in October by 0.1% compared to September, and the annual core inflation rate slowed to 2.1% compared to 2.2%.
Wall Street trading opened declines, with an increase power of the US dollar to a 14-month peak and the continuing decline in the government bond market.
In addition, US data released today showed a low inflation at the wholesale level, indicating a weaker than expected economic activity.
US producer price index remained unchanged in October compared to September, although Wall Street expected an increase of 0.3%.
The empire State index of the New York manufacturing activity recovered in November and rose for the first time in four months.
The index rose to 1.5 points, compared to a level of minus 6.8 last month.
US retail sales surged in October, and completed the two best sequence since the beginning of 2014.
The sales rose by 0.8% after rising by 1% in September, while analysts estimated a more modest rise of 0.7%.
The future contracts on Wall street are signalling increases ahead of the new trading day in the US, in anticipation of developments in the economic policies of the President-elect Donald Trump.
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