New Home Sales Plunge By Record 33%, Market Plunges To Welcome Double Dip
Even Goldman can’t spin this abysmal result
New home join the existing home sales double dip brigade, and plunge by an unprecedented 32.7%, nearly double the expected -18.7, compared to a previous reading of 14.7%. The government succeeded in making a mockery of this data series with all its ridiculous stimuli, and now we are officially in a housing double dip absent another massive stimulus bill. The median sales price of new houses sold in May 2010 was $200,900, lowest since December 2003, and a 9.6% drop YoY.
Oh, and stocks plunge on the news now that there is no doubt which way the Head And Shoulders-shaped recovery is headed. The only reason the market is not down 10% at this point is because the Fed will imminently announce negative interest rates, as it continues to exhume the grave of JM Keynes.
Here is what the official entrance into a double dip looks like:
Harold
