New home sales sank 11.5% in September to the lowest level in 10 months, MarketWatch’s Jeffrey Bartash reports.
Sales of newly built homes fell to an annual rate of 468,000, the Commerce Department said Monday, the lowest level since last November.
The drop-off can be attributed to an unusually large decline in home sales in the Northeast. Although sales fell in all regions, the Northeast experienced the largest one-month percentage drop (62%) by any region since the metric started to be tracked in 1973.However, Omair Sharif of Societe Generale points out the absolute average monthly change in the Northeast has been 32% over the last two years.
“The regional data for the Northeast is extremely volatile, so I wouldn’t place a lot of weight on this particular drop,” he said in a note to clients.
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