- Fed Chair Powell told a House Select Subcommittee on the Coronavirus Crisis this week that inflation is still seen as transitory, despite recent data showing big increases over last year.
- Powell also reaffirmed the Fed's intent to encourage a "broad and inclusive" job market recovery and to avoid interest rate increases based only on fear of coming inflation.
- Unemployment claims resumed their downward trend last week, after rising slightly in the prior week. The labor market continues to head toward a full recovery.
- The median price of an existing home was $250,300 in May, a 23.6% year-over-year increase. Low inventory and strong demand are fueling extraordinary home prices.
- Existing home sales in May were down for the 4th straight month, falling 0.9%, as just 1.23 million homes were for sale. That's a 2 1/2-month supply and a 20.6% drop from a year earlier.
- New home sales also fell in May, reaching a one-year low. The median price of newly built houses jumped 18.1% to $374,400, due in part to expensive materials, including lumber.
