RealPage Economy Express Episode 41

by   Arben Skivjani
  Posted   December 26, 2024
  in   Insights ,   Economy Express

Episode 41: The U.S. economy showed mixed but promising signs, with modest inflation, steady personal income growth, a robust housing market and cautious monetary policy adjustments by the Federal Reserve.

  • The Consumer Price Index rose 0.3% in November, bringing the annual climb to 2.7%. The energy index edged up 0.2% in November after remaining unchanged in October.
  • The Fed's preferred measure of inflation, the PCE (Personal Consumption Expenditures) price index, ticked up 0.1% in November from the previous month and showed a year-over-year increase of 2.4%.
  • Building permits in November increased 6.1% from October, despite a slight year-over-year dip.
  • Existing-home sales rose 4.8% in November, reaching a seasonally adjusted annual rate (SAAR) of 4.15 million and representing the strongest year-over-year increase since June 2021.
  • Mortgage applications decreased 0.7% from the previous week, according to the latest MBA survey for the week ending December 13. This dip reflects the nuanced effects of incrementally rising mortgage rates, which currently average around 6.75% for 30-year fixed loans.
  • Initial unemployment claims dipped to 220,000 in the week ending December 14, a decrease of 22,000 from the previous week, suggesting a labor market that's finding its footing.
  • The Conference Board's Leading Economic Index increased 0.3% in November, a sign of potential economic durability, supported by gains in building permits and a rebound in stock markets.
  • Finally, the Fed updated its outlook for 2025, now indicating that it plans to make just two rate cuts next year, rather than the four previously anticipated.

For more information on the state of the U.S. Economy, including forecasts, watch all the episodes of the Economy Express series.

 

 

Tags