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U.S. NAHB housing market index falls more than expected

Published 07/19/2010, 10:13 AM
EUR/USD
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Investing.com – Builder confidence in the market for newly built, single-family homes fell more-than-expected in July, down for a second consecutive month, industry data showed on Monday.

In a report, the National Association of Home Builders said its index of builder confidence fell to 14 in July, after declining to 17 in June.

Analysts had expected the index to decrease to 16 in July.

Commenting on the report, NAHB Chief Economist David Crowe said "The pause in sales following expiration of the home buyer tax credits is turning out to be longer than anticipated due to the sluggish pace of improvement in the rest of the economy".

He added "That said we do believe that favorable factors such as low mortgage rates, affordable prices, and demographic trends will help revive consumer demand for new homes this year, and that new-home sales will improve by 10% in 2010 from 2009."

Following the release of the data the U.S. dollar was down against the euro, with EUR/USD gaining 0.35% to hit 1.2975.

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