Tuesday, August 25, 2009
US housing recession coming to an end
Posted by David Smith at 03:30 PM
Category: Thoughts and responses

A recovery in the US housing market is important for the American economy and a stabilisation in home prices is a necessary (but not sufficient) condition for a return to health of the financial system. Recent numbers on US home sales have been firmer and now the Case-Shiller index has recorded a second successive monthly rise in home prices.

Prices rose by 1.4% in June after a 0.5% increase in May. Further monthly falls may occur but the big correction looks to be over. The index rose in the second quarter, the first quarterly rise in three years. More details here.