The number of existing home sales in the United States was significantly lower than that expected by economists in December, according to data released by the U.S. National Association of Realtors on Monday.
The seasonally adjusted annual rate of such sales, 5.45 million, fell far short of the forecasted 5.95 million.
U.S. markets began to reverse earlier gains in light of the data, which is the main gauge of the condition of the national housing market; they subsequently made a partial recovery from the immediate retreat.
The Dow Jones Industrial Average was up 0.55%, the S&P 500 index rose 0.68% and the Nasdaq Composite Index was up 0.7%.
Nonetheless, the association noted that prices rose from December 2008 and annual sales improved in 2009.
The group’s chief economist, Lawrence Yun, was quoted as saying in a statement: “It’s significant that home sales remain above year-ago levels, but the market is going through a period of swings driven by the tax credit.”