Pending Home Sales Data Points to the US Housing Market

Pending Home Sales Data Points to the US Housing Market

The National Association of Realtors will publish the Pending Home Sales m/m for December on the 30th of December 2024 at 15:00 GMT. The consensus points to an increase in this indicator by 0.2%, which is low compared to the growth of 2.0% the month before. The Pending Home Sales m/m measures the month-over-month change in the number of home sales contracts signed and is a leading indicator of final home sales for the next two months.

Given the average lag of 6–8 weeks between signing and completion, the next report may give some semblance of the near-term direction in the US housing market. A surprise reading above consensus may indicate durability in buyer activity and add to market confidence as a plus factor for dollar strength. Conversely, weaker-than-expected readings might indicate cooling demand or more pervasive economic pressures that have curtailed investor appetite.

Such data are likely to be analyzed for signals by market participants and economists with regard to housing demand, consumer confidence, and broader economic conditions. Results could also impact monetary policy discussion as the housing sector continues to be one of the major sectors in the US economy.

The impact may affect dollar quotes based on the data, though a range of factors will come into play, including general market conditions and investor interpretation. Needless to say, market reaction will not be predictable.