-Rob Martin, Barclays
New US single-family home sales rose more than expected in June, fresh figures from the US Census Bureau showed on Tuesday.
Sales of newly built homes grew 3.5% to a seasonally adjusted rate of 592,000 units during the reported month, posting the strongest reading since February 2008 and surpassing market analysts' expectations for an increase to 560,000 units. In the meantime, the previous month's sales pace was revised up to 572,000 from the originally reported 551,000 units. The housing market is being underpinned by the tightening labor market, which is starting to lift wages, as well as very low mortgage rates.
Other data released on Tuesday showed that the mood of shoppers across the United States worsened less than expected in the seventh month of the year, as the Conference Board Consumer Confidence Index dropped to 97.3 points in July, whereas economic desks predicted a steeper deceleration to 95.6 in the reported month. Meanwhile, last month's figure was revised down to 97.4 from the prior reading of 98.0 points, which was the highest since January. Furthermore, it appeared that Britain's recent decision to leave the European Union did not have any significant impact on American consumers.
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