Prices Keep Going Up While Demand Down

Treasury price losses lightened Wednesday morning, after the National Association of Realtors reported the weakest existing home sales in almost five years for June, indicating that the housing market slumping may not have stabilized. Typically, weak housing data is good for the Treasury

The existing home sales in the US fell even faster than expected in June, although median existing home prices rose from the prior year for the first time in nearly a year, according to the National Association of Realtors.

A rep from NAR said that the overall decrease in existing home sales is likely caused by rising mortgage rates. 'Mortgage interest rates have risen recently, and tightening lending standards are continuing to hamper sales, but fewer risky loans will put the market on a healthier path,' he said.