U.S. new-home sales fall to 350K

Americans bought fewer new homes in June after sales jumped to a two-year high in May. The steep decline suggests a weaker job market and slower growth could make the housing recovery uneven. The Commerce Department reports this morning that sales of new homes fell 8.4% last month from May to a seasonally adjusted annual rate of 350,000. That’s the biggest drop since February 2011. Sales in May and April were revised much higher. June’s sales pace is 15.1% higher than the same month last year. But sales remain well below the 700,000 annual rate that economists equate with healthy markets. “While a housing recovery is under way … fits and starts are to be expected and clearly this summer is one of the ‘fits,'” explains Dan Greenhaus, chief economic strategist at BTIG LLC. Read the full story on U.S. home sales here. In Baton Rouge, however, the June report from the Greater Baton Rouge Association of Realtors shows sales increased 13.5% from the year previous. Halfway through 2012, local home sales in the eight-parish region tracked by the GBRAR are up 19% over sales recorded six months into 2011. Read the full story on the local report from Daily Report here.