US consumer confidence ebbing
US consumer confidence fell for a fourth straight month in November amid worries about current business conditions and employment prospects, but remained at levels sufficient to support a steady pace of consumer spending.
Another report on Tuesday showed an unexpected drop in new home sales last month, but data for September was revised higher to show purchases hitting their highest level in over 12 years.
The housing market, the most sensitive sector to interest rates, is catching up to the Federal Reserve’s easy monetary policy stance, which has pushed down mortgage rates from last year’s multi-year highs.
Though housing accounts for a fraction of gross domestic product, it has a bigger economic footprint. The rise in housing activity early in the fourth quarter together with a narrowing in the trade deficit suggest some support for the economy as it slows amid cooling consumer spending and persistent weakness in business investment and manufacturing.