Stocks open slightly lower…Home sales slump…Slower gains in home prices
NEW YORK (AP) – Stocks are slightly lower on Wall Street. Health care companies are leading the gainers after AbbVie said it will pay $63 billion for Botox maker Allergan. Energy stocks lost ground. Concho Resources fell 1.1% and National Oilwell Varco lost nearly 1%. Investors await a speech by Fed Chairman Jerome Powell later today for any signal on the direction of interest rates.
WASHINGTON (AP) – Sales of new U.S. homes slumped 7.8% in May, as sales plunged in the pricier Northeastern and Western markets. The Commerce Department says that new homes sold at a seasonally adjusted annual rate of 626,000 in May, down from 679,000 in April. During the first five months of the year, purchases of new homes have fallen 3.7% compared to the same period in 2018. Lower mortgage rates and a healthy job market have yet to unleash more home-buying.
WASHINGTON (AP) – U.S. home price gains slowed for the 13th straight month in April, evidence that weaker demand is keeping prices in check even as mortgage rates fall. The S&P CoreLogic Case-Shiller 20-city home price index rose 2.5% in April from a year earlier, down slightly from an annual gain of 2.6% in March. That’s the smallest increase in nearly seven years.
MONTREAL (AP) – Canadian aerospace company Bombardier has announced the sale of its regional jet program to Japan’s Mitsubishi Heavy Industries Ltd for $550 million. The company is seeking to exit the commercial plane market and focus on business jets and its large rail business.
LONDON (AP) – Boston-based cybersecurity firm Cybereason says in a report that hackers are breaking into telecoms firms to gain sweeping access to VIPs’ call records, location data and device information. It’s a tactic that effectively turns the targets’ cellular providers against them. Cybereason Chief Executive Lior Div says that because customers aren’t being directly targeted, they might never discover their every movement is being monitored by a hostile power.