Purchases of new U.S. homes rose in August, capping the weakest two months this year, showing the fallout from mortgage rates at a two-year high is cooling the real-estate rebound. Sales increased 7.9 percent to a 421,000 annualized pace following a 390,000 rate in the prior month that was less than previously estimated, figures from the Commerce Department showed today in Washington. Demand slumped 14.1 percent in July. The median forecast of 77 economists surveyed by Bloomberg News called for 420,000. The data highlight the risk that the run-up in borrowing costs pose for the housing rebound, which has boosted ... (full story)