Goodbye to bidding wars: Some of the hottest housing markets are falling the hardest

“For the past three months, sales have fallen year over year in all six counties and, in the last two months, across most major price categories including above $1 million.” With home prices already overheated in many major markets, higher rates broke the bank for most buyers. Housing inventory in the large metropolitan markets Redfin tracks was up 5 percent in November annually, the largest supply boost in three years. Of course all real estate is local, and some markets are filling with listin


“For the past three months, sales have fallen year over year in all six counties and, in the last two months, across most major price categories including above $1 million.” With home prices already overheated in many major markets, higher rates broke the bank for most buyers. Housing inventory in the large metropolitan markets Redfin tracks was up 5 percent in November annually, the largest supply boost in three years. Of course all real estate is local, and some markets are filling with listin
Goodbye to bidding wars: Some of the hottest housing markets are falling the hardest Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-12-14  Authors: diana olick, mike kane, bloomberg, getty images
Keywords: news, cnbc, companies, seeing, mortgage, sales, real, bidding, according, markets, goodbye, hardest, months, prices, supply, falling, hottest, inventory, housing, wars


Goodbye to bidding wars: Some of the hottest housing markets are falling the hardest

SOURCE: REDFIN

“Rising prices and mortgage rates have priced out some potential buyers while causing others to conclude that waiting to buy could pay off, especially as listings rise,” said Andrew LePage, a CoreLogic analyst. “For the past three months, sales have fallen year over year in all six counties and, in the last two months, across most major price categories including above $1 million.”

Mortgage rates rose sharply in September, and by October, the average rate on the 30-year fixed was more than a full percentage point higher than a year ago. With home prices already overheated in many major markets, higher rates broke the bank for most buyers.

Rates fell back again in November, but were still higher than a year ago. The drop did little to boost sales. Mortgage applications to buy a newly built home actually fell 11 percent year-over-year in November, according to the Mortgage Bankers Association, despite the rate relief.

And after one of the worst housing shortages in memory, supply is slowly starting to rise. Housing inventory in the large metropolitan markets Redfin tracks was up 5 percent in November annually, the largest supply boost in three years. Of course all real estate is local, and some markets are filling with listings faster than others.

Inventory jumped in formerly hot markets like San Jose (+123 percent), Seattle (+96.5 percent) and Oakland (+60 percent) but other markets are still seeing drops, like Philadelphia (-24 percent and New Orleans (-19 percent).

In Las Vegas, which was the epicenter of the housing crash and the subprime mortgage crisis, sales and prices were raging last year and last spring, but supply is now spiking and sales have ground to a halt. The inventory in November was up 54 percent from a year ago and sales were down 12 percent, according to the Greater Las Vegas Association of Realtors.

“Even though our local home prices have been appreciating at the fastest rate in the country through much of this year, prices have been fairly flat for the past few months,” said GLVAR president Chris Bishop, an area real estate agent. “I wouldn’t be surprised to see that trend continue as we head into the holidays and what is traditionally the slowest time of year for home sales.”

In Denver, another market that was incredibly competitive last year due to very short supply and high demand, inventory in November jumped nearly 47 percent annually, according to the Denver Metro Association of Realtors. Sales fell 12 percent. The high end is seeing the biggest shift.

“The power switched to buyers when negotiating on homes priced over $1 million, with 7.22 months of inventory,” wrote Jill Schafer, chair of the DMAR Market Trends Committee.

Even in Dallas, where demand is still quite strong due to a healthy local economy, inventory is up over 15 percent, and 14 percent of listings saw price reductions in October, according to Realtor.com.

“I am seeing an increasing number of price reductions in homes over $500,000, as our inflated market has simmered, but not plummeted,” said Laura Barnett, a real estate agent with RE/MAX DFW Associates. “Not too many bidding wars, unless the home is priced well below market.”

WATCH: How to win a bidding war when buying a home


Company: cnbc, Activity: cnbc, Date: 2018-12-14  Authors: diana olick, mike kane, bloomberg, getty images
Keywords: news, cnbc, companies, seeing, mortgage, sales, real, bidding, according, markets, goodbye, hardest, months, prices, supply, falling, hottest, inventory, housing, wars


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Oil prices dip as stock markets slide, but trading tepid ahead of OPEC meeting

Oil prices fell along with weak stock markets on Thursday, but trading was tepid ahead of a meeting by producer group OPEC that is expected to result in a supply cut aimed at draining a glut that has pulled down crude prices by 30 percent since October. International Brent crude oil futures were down 7 cents, or 0.1 percent, at $61.49 per barrel. Traders said oil prices were being weighed down by weak global financial markets, which saw stock markets tumble on Thursday. Led by Saudi Arabia, OPEC


Oil prices fell along with weak stock markets on Thursday, but trading was tepid ahead of a meeting by producer group OPEC that is expected to result in a supply cut aimed at draining a glut that has pulled down crude prices by 30 percent since October. International Brent crude oil futures were down 7 cents, or 0.1 percent, at $61.49 per barrel. Traders said oil prices were being weighed down by weak global financial markets, which saw stock markets tumble on Thursday. Led by Saudi Arabia, OPEC
Oil prices dip as stock markets slide, but trading tepid ahead of OPEC meeting Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-12-06
Keywords: news, cnbc, companies, supply, prices, markets, million, oil, stock, production, dip, producer, meeting, tepid, slide, opec, crude, trading


Oil prices dip as stock markets slide, but trading tepid ahead of OPEC meeting

Oil prices fell along with weak stock markets on Thursday, but trading was tepid ahead of a meeting by producer group OPEC that is expected to result in a supply cut aimed at draining a glut that has pulled down crude prices by 30 percent since October.

U.S. West Texas Intermediate (WTI) crude futures were at $52.66 per barrel at 0140 GMT, down 23 cents, or 0.4 percent, from their last close.

International Brent crude oil futures were down 7 cents, or 0.1 percent, at $61.49 per barrel.

Traders said oil prices were being weighed down by weak global financial markets, which saw stock markets tumble on Thursday.

Since early October, crude oil has lost around 30 percent of its value amid surging supply and fears that an economic downturn will erode fuel demand.

The Organisation of the Petroleum Exporting Countries (OPEC) is meeting at its headquarters in Vienna, Austria, on Thursday to decide its production policy.

Led by Saudi Arabia, OPEC’s crude oil production has risen by 4.1 percent since mid-2018, to 33.31 million barrels per day (bpd).

Oil output from the world’s biggest producers – OPEC, Russia and the United States – has increased by a 3.3 million bpd since the end of 2017, to 56.38 million bpd, meeting almost 60 percent of global consumption.

The increase alone is equivalent to the output of major OPEC producer United Arab Emirates.

Russia, a major oil producer but not a member of OPEC, will meet with the producer cartel on Friday to discuss production levels, and it is widely expected that a supply cut will be agreed.

“Markets…believe the production cut deal will be in range of 1-1.3 million bpd,” ANZ bank said on Thursday.


Company: cnbc, Activity: cnbc, Date: 2018-12-06
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Trump says he hopes OPEC will be keeping oil flows ‘as is’

President Donald Trump urged OPEC to continue pumping oil at current high levels on Wednesday, one day before the group of petroleum exporting nations is expected to agree to cut output. “Hopefully OPEC will be keeping oil flows as is, not restricted. The World does not want to see, or need, higher oil prices!” Throughout the year, Trump has publicly blamed OPEC for rising oil prices and ordered the group to take measures to reduce the cost of crude. The group is trying to prevent a repeat of 20


President Donald Trump urged OPEC to continue pumping oil at current high levels on Wednesday, one day before the group of petroleum exporting nations is expected to agree to cut output. “Hopefully OPEC will be keeping oil flows as is, not restricted. The World does not want to see, or need, higher oil prices!” Throughout the year, Trump has publicly blamed OPEC for rising oil prices and ordered the group to take measures to reduce the cost of crude. The group is trying to prevent a repeat of 20
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Company: cnbc, Activity: cnbc, Date: 2018-12-05  Authors: tom dichristopher, omar marques, lightrocket, getty images
Keywords: news, cnbc, companies, president, saudi, prices, group, flows, output, trump, nations, supply, oil, opec, keeping, hopes


Trump says he hopes OPEC will be keeping oil flows 'as is'

President Donald Trump urged OPEC to continue pumping oil at current high levels on Wednesday, one day before the group of petroleum exporting nations is expected to agree to cut output.

“Hopefully OPEC will be keeping oil flows as is, not restricted. The World does not want to see, or need, higher oil prices!” Trump tweeted.

OPEC meets on Thursday in Vienna, Austria and is reportedly aiming to remove at least 1.3 million barrels per day from the market. The group began managing crude supply in partnership with Russia and several other nations last year in order to end a punishing downturn in oil prices.

The alliance’s policy of capping output has drawn Trump’s ire because the president wants fuel costs to fall at U.S. gas stations. Throughout the year, Trump has publicly blamed OPEC for rising oil prices and ordered the group to take measures to reduce the cost of crude.

In June, OPEC agreed to increase output after the alliance unintentionally removed more barrels from the market than it intended. Top OPEC producer Saudi Arabia, a close U.S. ally, is responsible for most of the surge in supply since mid-year. The kingdom’s output reportedly surpassed a record 11 million bpd in November.

At the time OPEC agreed to hike output, the Trump administration was preparing to restore sanctions on Iran, the group’s third biggest producer. That raised concerns about supply shortages and pushed up prices throughout much of the year.

However, OPEC now expects the oil market to swing into oversupply. The group is trying to prevent a repeat of 2014, when a global crude glut crushed oil prices.

The cost of crude has collapsed more than 30 percent over the last two months, putting pressure on budgets in oil-exporting nations. Analysts say current low prices will likely cause American oil drillers to issue conservative spending plans for 2019 and potentially return less money to shareholders.

Still, Trump urged Saudi Arabia to drive prices even lower last month.

The kingdom now faces the challenge of pushing through production cuts without alienating Trump. The U.S. president has defended the Saudi leadership despite a CIA assessment that Crown Prince Mohammed bin Salman was likely involved in the killing of Washington Post columnist Jamal Khashoggi in October.

The outcry over the incident on Capitol Hill grew louder on Tuesday after CIA Director Gina Haspel briefed senators on the agency’s assessment.


Company: cnbc, Activity: cnbc, Date: 2018-12-05  Authors: tom dichristopher, omar marques, lightrocket, getty images
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Oil prices slip on global growth concerns, swelling US supply

Oil prices fell on Wednesday, pulled down by swelling U.S. inventories and a plunge in global stock markets as China’s government warned of increasing economic headwinds. International Brent crude oil futures were at $60.87 per barrel at 0508 GMT, down $1.21, or 2 percent, from their last close. U.S. West Texas Intermediate (WTI) crude futures were at $52.33 per barrel, down 92 cents, or 1.7 percent. Key to the global economic outlook will be whether the United States and China can resolve their


Oil prices fell on Wednesday, pulled down by swelling U.S. inventories and a plunge in global stock markets as China’s government warned of increasing economic headwinds. International Brent crude oil futures were at $60.87 per barrel at 0508 GMT, down $1.21, or 2 percent, from their last close. U.S. West Texas Intermediate (WTI) crude futures were at $52.33 per barrel, down 92 cents, or 1.7 percent. Key to the global economic outlook will be whether the United States and China can resolve their
Oil prices slip on global growth concerns, swelling US supply Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-12-05  Authors: jean-paul pelissier
Keywords: news, cnbc, companies, markets, swelling, barrel, concerns, wti, crude, brent, economic, global, slip, supply, prices, united, oil, growth


Oil prices slip on global growth concerns, swelling US supply

Oil prices fell on Wednesday, pulled down by swelling U.S. inventories and a plunge in global stock markets as China’s government warned of increasing economic headwinds.

International Brent crude oil futures were at $60.87 per barrel at 0508 GMT, down $1.21, or 2 percent, from their last close.

U.S. West Texas Intermediate (WTI) crude futures were at $52.33 per barrel, down 92 cents, or 1.7 percent.

Reuters technical commodity analyst Wang Tao said WTI could soon test support at $51.75 per barrel, while Brent was threatening to drop below $60 per barrel again soon.

Oil prices were pressured by a weekly report from the American Petroleum Institute (API) that said U.S. crude inventories rose by 5.4 million barrels in the week to Nov. 30, to 448 million barrels, in a sign that U.S. oil markets are in a growing glut.

Official U.S. government oil production and inventory data is due later on Wednesday.

More broadly, the slide in U.S. oil followed a tumble in global stock markets on Tuesday, with investors worried about the threat of a widespread economic slowdown.

Key to the global economic outlook will be whether the United States and China can resolve their trade disputes. Washington and Beijing announced a 90-day truce last weekend, during which neither side will further increase punitive import tariffs.

In a sign of easing tensions between the two world’s biggest economies, Chinese oil trader Unipec plans to resume U.S. crude shipments to China by March after the Xi-Trump deal at the G-20 meeting reduced the risk of tariffs being imposed on these imports, people with knowledge of the matter said.

Yet the truce may not last. U.S. President Donald Trump threatened on Tuesday to place “major tariffs” on Chinese goods imported into the United States if his administration didn’t reach a desirable deal with Beijing.

China’s state council on Wednesday issued guidance to support employment as the economy slows, saying the country should pay “high attention” to the impact on employment from increasing economic headwinds.

Bank of America Merrill Lynch said in its 2019 economic outlook, published on Tuesday, that “most major economies are likely to see decelerating activity”, although it added that “a steady stream of monetary and fiscal stimulus measures” was expected to stem the slowdown.

The bank said it expected Brent and WTI prices to average $70 and $59 per barrel respectively in 2019.

Brent and WTI have averaged $72.80 and $66.10 per barrel so far this year.


Company: cnbc, Activity: cnbc, Date: 2018-12-05  Authors: jean-paul pelissier
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Oil prices extend gains on expected OPEC-led supply cuts

Oil prices rose on Tuesday, extending strong gains from the previous day amid expected OPEC-led supply cuts and a mandated reduction in Canadian output. International Brent crude oil futures were up 40 cents, or 0.7 percent, at $62.09 per barrel. It added that it expected a joint effort by OPEC and Russia to withhold supply to push Brent oil prices “above the mid-$60 per barrel level”. OPEC’s biggest problem is surging production in the United States, where output has grown by around 2 million b


Oil prices rose on Tuesday, extending strong gains from the previous day amid expected OPEC-led supply cuts and a mandated reduction in Canadian output. International Brent crude oil futures were up 40 cents, or 0.7 percent, at $62.09 per barrel. It added that it expected a joint effort by OPEC and Russia to withhold supply to push Brent oil prices “above the mid-$60 per barrel level”. OPEC’s biggest problem is surging production in the United States, where output has grown by around 2 million b
Oil prices extend gains on expected OPEC-led supply cuts Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-12-04  Authors: andrew burton, getty images
Keywords: news, cnbc, companies, opec, crude, extend, bank, united, million, cuts, gains, bpd, production, opecled, expected, output, supply, prices, oil, vienna


Oil prices extend gains on expected OPEC-led supply cuts

Oil prices rose on Tuesday, extending strong gains from the previous day amid expected OPEC-led supply cuts and a mandated reduction in Canadian output.

The 90-day truce in the trade dispute between the United States and China was also still supporting markets, traders said.

U.S. West Texas Intermediate (WTI) crude futures were at $53.35 per barrel at 0137 GMT, up 40 cents, or 0.8 percent, from their last close.

International Brent crude oil futures were up 40 cents, or 0.7 percent, at $62.09 per barrel.

Both crude benchmarks climbed by around 4 percent the previous session after Washington and Beijing agreed a truce in their trade disputes and said they would negotiate for 90 days before taking any further action.

The Middle East dominated Organization of the Petroleum Exporting Countries (OPEC) will on Dec. 6 meet at its headquarters in Vienna, Austria, to agree a joint output policy.

It will also discuss policy with non-OPEC production giant Russia.

“We expect OPEC to follow suit and agree to a production cut in Vienna this coming Thursday,” U.S. bank Goldman Sachs said in a note to clients.

“A cut in OPEC and Russia production of 1.3 million barrels per day (bpd) will be required to reverse the ongoing counter-seasonally large increase in inventories,” the bank said.

It added that it expected a joint effort by OPEC and Russia to withhold supply to push Brent oil prices “above the mid-$60 per barrel level”.

Helping OPEC in its efforts to rein in emerging oversupply was an order on Sunday by the Canadian province of Alberta for producers to scale back output by 325,000 bpd until excess crude in storage is reduced.

OPEC’s biggest problem is surging production in the United States, where output has grown by around 2 million bpd in a year to more than 11.5 million bpd.

China in November resumed imports of U.S. crude oil, taking in one tanker at the end of last month, according to ship-tracking data, with another on order for delivery in January.

Britain’s Barclays bank pointed out that production in the state of Texas alone “reached 4.69 million bpd in September, compared with Iraqi output of 4.66 million by our estimates”.

Iraq is OPEC’s second-biggest oil producer, behind only Saudi Arabia.


Company: cnbc, Activity: cnbc, Date: 2018-12-04  Authors: andrew burton, getty images
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Crude oil’s next move depends on Saudi Arabia and Trump

Last month was crude oil’s worst in a decade, battered by supply concerns and global politics. OPEC, which includes top producer Saudi Arabia, is set to meet in Vienna on Thursday. Along with non-OPEC member Russia, oil producing countries are expected to agree to a supply cut to counteract tumbling oil prices. “The one cloud over this is really Saudi Arabia and their relationship with President Trump,” added Croft. “President Trump has made the explicit ask to Saudi Arabia to keep the taps open


Last month was crude oil’s worst in a decade, battered by supply concerns and global politics. OPEC, which includes top producer Saudi Arabia, is set to meet in Vienna on Thursday. Along with non-OPEC member Russia, oil producing countries are expected to agree to a supply cut to counteract tumbling oil prices. “The one cloud over this is really Saudi Arabia and their relationship with President Trump,” added Croft. “President Trump has made the explicit ask to Saudi Arabia to keep the taps open
Crude oil’s next move depends on Saudi Arabia and Trump Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-12-02  Authors: keris lahiff, ludovic marin, afp, getty images, mark kauzlarich, michael nagle, bloomberg, mathew lloyd, david a grogan
Keywords: news, cnbc, companies, depends, supply, really, oil, tumbling, oils, worst, saudi, croft, arabia, opec, crude, trump


Crude oil's next move depends on Saudi Arabia and Trump

Last month was crude oil’s worst in a decade, battered by supply concerns and global politics.

West Texas Intermediate, or U.S. crude, lost 21 percent in November, tumbling to its lowest level in a year and logging its worst performance since October 2008.

After sinking below $50, the days ahead could bring some relief, according to Helima Croft, global head of commodity strategy at RBC Capital Markets. This week, the cartel of oil producing nations known as OPEC will make a decision on future levels of production that may determine where prices head in the near term.

“What we really need to get on the path to $60 is we need to see a substantial cut coming out of OPEC… at the Thursday meeting,” Croft told CNBC’s “Futures Now” on Thursday. “We anticipate that OPEC will pull a significant quantity of barrels, at a minimum a million barrels.”

OPEC, which includes top producer Saudi Arabia, is set to meet in Vienna on Thursday. Along with non-OPEC member Russia, oil producing countries are expected to agree to a supply cut to counteract tumbling oil prices.

“The one cloud over this is really Saudi Arabia and their relationship with President Trump,” added Croft. “President Trump has made the explicit ask to Saudi Arabia to keep the taps open, so at the eleventh hour that they potentially try to force the Saudi crown prince to keep the barrels on the market,” she said. “I think that’s the big concern.”


Company: cnbc, Activity: cnbc, Date: 2018-12-02  Authors: keris lahiff, ludovic marin, afp, getty images, mark kauzlarich, michael nagle, bloomberg, mathew lloyd, david a grogan
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Oil strengthens ahead of G20 meeting, but supply rise caps gains

Oil prices ticked higher on Thursday on optimism that trade talks at the G20 meeting could aid the global economy and improve the demand outlook, while an increase in U.S. crude inventories to their highest in a year curbed gains. U.S. crude futures rose 38 cents, or 0.8 percent, to $50.67 per barrel by 0338 GMT. International benchmark Brent crude rose 27 cents, or 0.5 percent, to $59.03 a barrel, having dropped 2.4 percent on Wednesday to $58.76 a barrel. Both markets rose more than 1 percent


Oil prices ticked higher on Thursday on optimism that trade talks at the G20 meeting could aid the global economy and improve the demand outlook, while an increase in U.S. crude inventories to their highest in a year curbed gains. U.S. crude futures rose 38 cents, or 0.8 percent, to $50.67 per barrel by 0338 GMT. International benchmark Brent crude rose 27 cents, or 0.5 percent, to $59.03 a barrel, having dropped 2.4 percent on Wednesday to $58.76 a barrel. Both markets rose more than 1 percent
Oil strengthens ahead of G20 meeting, but supply rise caps gains Cached Page below :
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Keywords: news, cnbc, companies, barrel, ahead, million, crude, trade, gains, rose, markets, meeting, g20, inventories, strengthens, oil, caps, rise, supply


Oil strengthens ahead of G20 meeting, but supply rise caps gains

Oil prices ticked higher on Thursday on optimism that trade talks at the G20 meeting could aid the global economy and improve the demand outlook, while an increase in U.S. crude inventories to their highest in a year curbed gains.

U.S. crude futures rose 38 cents, or 0.8 percent, to $50.67 per barrel by 0338 GMT. The market ended the previous session down 2.5 percent at $50.29 a barrel, after hitting the lowest since early October last year.

International benchmark Brent crude rose 27 cents, or 0.5 percent, to $59.03 a barrel, having dropped 2.4 percent on Wednesday to $58.76 a barrel.

Both markets rose more than 1 percent in early Asian trade.

“We have seen huge increases in supply and the demand picture is in question. However, we might see some movement on global trade issues at the G20 meeting which starts on Friday,” said Michael McCarthy, chief strategist at CMC Markets and Stockbroking.

“I think we are seeing some positioning ahead of those potential demand-positive events.”

Investors in commodity markets are looking ahead to the meeting of leaders of the Group of 20 nations (G20), the world’s biggest economies, on Nov. 30 and Dec. 1, with the U.S.-China trade war at the top of the agenda.

U.S. President Donald Trump is open to a trade deal with China but is also prepared to hike tariffs on imports from the country if there is no breakthrough on longstanding trade issues during a dinner on Saturday with Chinese leader Xi Jinping, White House economic adviser Larry Kudlow said on Tuesday.

Xi said China will widen market access for foreign investors and step up protection of intellectual property rights.

Meanwhile, rising supplies are keeping a lid on prices.

U.S. crude inventories for the week to Nov. 23 added 3.6 million barrels to the most in a year at 450 million barrels, exceeding expectations, the Energy Information Administration said on Wednesday.

“WTI oil is now trading right around the $50 per barrel level, a price last seen well over a year ago, as the current oversupply situation has now manifested itself in 10 consecutive weekly increases in U.S. oil inventories,” said William O’Loughlin, Investment Analyst at Australia’s Rivkin Securities.

The Organization of the Petroleum Exporting Countries (OPEC) and non-OPEC members will meet in Vienna, Austria on Dec. 6 to discuss a new round of production cuts of 1 million to 1.4 million barrels per day (bpd) and possibly more, OPEC delegates told Reuters earlier this month.


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Pending home sales fall 2.6% in October as more buyers are priced out

Pending homes sales, a measure of signed contracts to buy existing homes, fell 2.6 percent compared with September, according to the National Association of Realtors. “The recent rise in mortgage rates have reduced the pool of eligible homebuyers,” said Lawrence Yun, chief economist for the Realtors in a release. Sales in the Northeast rose 0.7 percent for the month and were 2.9 percent lower annually. In the Midwest, sales fell 1.8 percent monthly and 4.9 percent annually. Sales in the South we


Pending homes sales, a measure of signed contracts to buy existing homes, fell 2.6 percent compared with September, according to the National Association of Realtors. “The recent rise in mortgage rates have reduced the pool of eligible homebuyers,” said Lawrence Yun, chief economist for the Realtors in a release. Sales in the Northeast rose 0.7 percent for the month and were 2.9 percent lower annually. In the Midwest, sales fell 1.8 percent monthly and 4.9 percent annually. Sales in the South we
Pending home sales fall 2.6% in October as more buyers are priced out Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-11-29  Authors: diana olick, daniel acker, bloomberg, getty images
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Pending home sales fall 2.6% in October as more buyers are priced out

Expectations for a stronger housing market in October fell short. Pending homes sales, a measure of signed contracts to buy existing homes, fell 2.6 percent compared with September, according to the National Association of Realtors. Sales were down a steeper 6.7 percent compared with October 2017. That makes the 10th straight month of annual declines.

This follows another disappointing report on sales of newly built homes in October, which also measure signed contracts. They fell 12 percent annually, according to the U.S. Census. Experts blame the drop on weakening affordability across the nation’s local markets.

“The recent rise in mortgage rates have reduced the pool of eligible homebuyers,” said Lawrence Yun, chief economist for the Realtors in a release.

The same thing happened after rates jumped in 2013, following the so-called taper tantrum, when the Federal Reserve indicated it would reduce the amount of money it was putting into the economy. Mortgage rates surged, but then fell back again, and home sales recovered.

“But this time, interests rates are not going down, in fact, they are probably going to increase even further,” added Yun.

The average rate on the 30-year fixed mortgage is now about a full percentage point higher than it was a year ago, hovering around 5 percent.

Home sales today are at the level they were in 2000, but interest rates are still lower than they were then. The weakness is not just rates, but high home prices. Home values surged dramatically in the last two years, as demand outpaced supply, especially on the lower end of the market.

While all regions saw a decline, pending sales in the West fell furthest, down 8.9 percent for the month and down 15.3 percent compared with a year ago. Sales in the Northeast rose 0.7 percent for the month and were 2.9 percent lower annually. In the Midwest, sales fell 1.8 percent monthly and 4.9 percent annually. Sales in the South were 1.1 percent lower monthly and 4.6 percent lower annually.

One bright spot in the market is an increase in supply, especially in markets where supply had been tightest and demand highest. Denver, Seattle, San Francisco and San Diego saw some of the largest increases in listings in October, compared with a year ago, according to Realtor.com.

WATCH: Renting vs. buying a home – here are the numbers you need to decide


Company: cnbc, Activity: cnbc, Date: 2018-11-29  Authors: diana olick, daniel acker, bloomberg, getty images
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Oil prices rise on North Sea outage, ahead of OPEC, G20 meetings

The shutdown of Britain’s largest North Sea oilfield for repairs also supported prices, traders said. U.S. West Texas Intermediate (WTI) crude futures were at $52.11 per barrel at 0448 GMT, up 55 cents, or 1.1 percent from their last settlement. International Brent crude oil futures were up 57 cents, or 1 percent, at $60.78 per barrel. Despite Wednesday’s rise, oil prices have still lost around 30 percent in value since early October, weighed down by an emerging supply overhang and by widespread


The shutdown of Britain’s largest North Sea oilfield for repairs also supported prices, traders said. U.S. West Texas Intermediate (WTI) crude futures were at $52.11 per barrel at 0448 GMT, up 55 cents, or 1.1 percent from their last settlement. International Brent crude oil futures were up 57 cents, or 1 percent, at $60.78 per barrel. Despite Wednesday’s rise, oil prices have still lost around 30 percent in value since early October, weighed down by an emerging supply overhang and by widespread
Oil prices rise on North Sea outage, ahead of OPEC, G20 meetings Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-11-28  Authors: andrew burton, getty images
Keywords: news, cnbc, companies, trade, oil, wti, opec, rise, futures, crude, g20, sea, outage, prices, meetings, supply, north, ahead, emerging, traders


Oil prices rise on North Sea outage, ahead of OPEC, G20 meetings

Oil prices rose by one percent on Wednesday ahead of an OPEC meeting next week at which the producer club is expected to decide some form of supply cut to counter an emerging glut.

The shutdown of Britain’s largest North Sea oilfield for repairs also supported prices, traders said.

U.S. West Texas Intermediate (WTI) crude futures were at $52.11 per barrel at 0448 GMT, up 55 cents, or 1.1 percent from their last settlement.

International Brent crude oil futures were up 57 cents, or 1 percent, at $60.78 per barrel.

The Buzzard oilfield, which pumps about 150,000 barrels per day (bpd) has closed temporarily after the discovery of pipe corrosion. A smaller field linked to Forties, Total’s Elgin-Franklin, is also shut for maintenance. As a result, trade sources said three cargoes due to load in December had been cancelled.

Despite Wednesday’s rise, oil prices have still lost around 30 percent in value since early October, weighed down by an emerging supply overhang and by widespread weakness in financial markets.

The crude oil price slump since October is so far on par with the 2008 price crash and steeper than that of 2014/2015.

The Organization of the Petroleum Exporting Countries (OPEC) will meet at its headquarters in Vienna, Austria, on Dec. 6 to discuss output policy.

The OPEC-meeting will follow a gathering by the Group of 20 (G-20) nations, which includes the world’s biggest economies, in Argentina this weekend, at which the Sino-American trade dispute as well as oil policy are expected to be discussed.

While most analysts expect some form of supply cut from the OPEC meeting, sentiment in oil markets remains negative.

“Options traders remain focused on downside risks following a 30 percent slide in WTI,” Erik Norland, senior economist at commodities exchange CME Group wrote in a note, referring to the higher number of traders who have placed positions that would profit from a further fall in crude prices than those placing bets on a rising market.

Portfolio managers have slashed their combined net long position in crude futures by a total of 607 million barrels over the last eight weeks, the largest reduction over a comparable period since at least 2013, when the current data series began, exchange data showed.

A concern to global markets is a slowdown in global trade as a result of the Sino-American trade dispute, swelling debt and a strong dollar that puts pressure on emerging markets.

The World Trade Organization (WTO) said in its latest outlook, published on Tuesday, that “trade growth is likely to slow further into the fourth quarter of 2018”, with growth likely at its slowest since Oct. 2016.


Company: cnbc, Activity: cnbc, Date: 2018-11-28  Authors: andrew burton, getty images
Keywords: news, cnbc, companies, trade, oil, wti, opec, rise, futures, crude, g20, sea, outage, prices, meetings, supply, north, ahead, emerging, traders


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Deere CEO expects trade war to have a long-lasting impact on agriculture

“We’re more concerned about the structural changes that it might force on the global supply of soybeans and other commodities,” Allen said on CNBC’s “Squawk on the Street.” A secondary concern for Allen is the farms that are very leveraged and are struggling in the short-term. “We think that’s probably best done outside of the public forum and done in more private conversations that can lead to more fruitful negotiations.” “I think they ought to pause and see if the economy continues to move for


“We’re more concerned about the structural changes that it might force on the global supply of soybeans and other commodities,” Allen said on CNBC’s “Squawk on the Street.” A secondary concern for Allen is the farms that are very leveraged and are struggling in the short-term. “We think that’s probably best done outside of the public forum and done in more private conversations that can lead to more fruitful negotiations.” “I think they ought to pause and see if the economy continues to move for
Deere CEO expects trade war to have a long-lasting impact on agriculture Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-11-28  Authors: amelia lucas
Keywords: news, cnbc, companies, war, soybeans, china, allen, supply, expects, trade, ceo, tariffs, impact, trumps, think, longlasting, president, private, deere, agriculture, rate


Deere CEO expects trade war to have a long-lasting impact on agriculture

Tariffs are doing more damage than good for US tech leadership, says Deere CEO 2 Hours Ago | 07:31

Deere Chairman and CEO Samuel Allen said on Wednesday that his main concern with President Donald Trump’s tariffs is the long-term effects it will have on the supply of agricultural commodities.

“We’re more concerned about the structural changes that it might force on the global supply of soybeans and other commodities,” Allen said on CNBC’s “Squawk on the Street.”

For example, if China were to seek out soybeans from another country like Brazil, those farmers could produce the soybeans quickly, which could lead to an oversupply over a longer period of time. That means the U.S. farmer will continue to be hurt by the tariffs even after they are lifted because of the surplus created by China seeking out substitute suppliers.

A secondary concern for Allen is the farms that are very leveraged and are struggling in the short-term.

Allen, who also serves as the chairman of the Council on Competitiveness, said he believes intellectual property theft by China is a valid issue that should be resolved. But he disagrees with Trump’s approach, saying that he does not think that tariffs make the U.S. more competitive against China and create more friction between the countries.

Instead, Allen favors negotiations away from the eyes of the public.

“There should be discussion with China and its leaders,” he said. “We think that’s probably best done outside of the public forum and done in more private conversations that can lead to more fruitful negotiations.”

Allen pointed to Trump’s strong will and skill set as a negotiator as reasons why he could have more success than his predecessors in private talks with China.

Once again, all eyes will be on Trump and President Xi Jinping at this weekend’s G-20 summit, where the two leaders could broker a truce on trade.

One issue that he does agree with the president on is the Federal Reserve raising rates.

“I think they ought to pause and see if the economy continues to move forward in a robust fashion,” Allen said. “They can always later mete another rate or two increase but I worry if they bring in another rate increase that it may be the triggering event that causes the economy to really slow down and so I would wish they would hold up for a few quarters.”

Allen said that Deere has seen a slowdown in orders because customers are worried about what could happen with rate hikes.

The effects of slowing home sales has not yet hit its construction equipment orders, however, because that equipment can also be used in oil production and fracking.


Company: cnbc, Activity: cnbc, Date: 2018-11-28  Authors: amelia lucas
Keywords: news, cnbc, companies, war, soybeans, china, allen, supply, expects, trade, ceo, tariffs, impact, trumps, think, longlasting, president, private, deere, agriculture, rate


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