Home Sales Give Market a Late Jolt

Sales of existing homes rose a record 24.7% in July
By Newser Editors,  Newser Staff
Posted Aug 21, 2020 3:03 PM CDT
Market Jumps Late After Home Sales Record
In this photo provided by the New York Stock Exchange, traders gather at a post during the Fast Acquisition Corp. IPO, Friday, Aug. 21, 2020.   (Colin Ziemer/New York Stock Exchange via AP)

The stock market finished the week in strong fashion thanks to robust economic numbers that came out in the afternoon, reports CNBC. Sales of existing homes rose a record 24.7% in July from the previous month, and the average sale price rose to a record $304,100. Low interest rates helped, notes the Wall Street Journal. Also on Friday, manufacturing activity rose to its highest level in 19 months in August. All of which helped the markets: The Dow rose 190 points to 27,930, the S&P 500 rose 11 points to 3,397, and the Nasdaq rose 46 points to 11,311.

“The housing market is actually past the recovery phase and is now in a booming stage,” Lawrence Yun of the National Association of Realtors tells the Journal. “New demand has been created because of the pandemic, with the work-from-home flexibility.” The surge in sales is expected to have ripple effects on the economy as people spend on renovations, appliances, and home goods. (More stock market stories.)

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