Following a 6.1% jump in May, pending home sales likely fell by 1.0% in June. May’s jump of 6.1% in pending sales likely retraced in June. New home sales dropped 8.1% in June, almost reversing the previous jump of 8.3% and pushed the month’s supply higher to 5.8. As pending home sales tracks new home sales trends, the drop suggests a decline in pending home sales. On the other hand, mortgage applications rose 2.4% and homebuilder sentiment rose 4 points in June. We thus expect only a slight retracement in June pending home sales. We expect a solid rebound in Q2 GDP growth, following the 2.9% drop in Q1. We look for ... (full story)