US: Case-Shiller home price index in focus – Nomura

Analysts at Nomura suggest that the Case-Shiller home price index will be a key economic release for today’s US session.

Key Quotes

“Low inventory levels of homes for sale amid strong demand may have contributed to a recent acceleration of home prices. In April, the Case-Shiller 20-city home price index eased slightly to 5.67% y-o-y from 5.88% in March. The latest reading is still above the average year-on-year rate in 2016 (5.24%). Strong job gains so far in 2017 and an influx of younger new home buyers may have contributed to increased demand in a low-inventory housing market, pushing up prices. As the supply shortage continues, it is likely that home prices continued to rise at a steady pace. An additional acceleration in home price growth may have the potential to further exacerbate affordability.”