Permits for future home construction rose to their highest point in nearly five and a half years in October and prices for single-family homes posted big gains in September, suggesting that the run-up in mortgage interest rates since May has not derailed the housing recovery.

While demand for housing remains as strong as ever, credit is tight, flood insurance rates are on the rise, mortgage rates are elevated and income growth has not kept pace with price growth.

Mortage Rates

Mortgage rates have risen sharply since early May as the credit markets anticipated that the Federal Reserve would start scaling back on its monthly $85 billion purchases of Treasury and mortgage-backed securities this year, with the 30-year fixed-rate mortgage climbing nearly a full percentage point.

The 30-year rate hit 4.49 percent in September, the highest since July 2011, according to the mortgage finance giant Freddie Mac. But rates have been retreating, averaging 4.19 percent last month, as expectations grew that the Fed might wait until early next year to taper its stimulus campaign.

Home prices have enjoyed a strong rebound during the past year, as improving sales and a drop in foreclosures have removed two major drags on the market. And while mortgage rates have been rising lately, they are still at historically low levels.
The rebound in home prices means that fewer homeowners are underwater. Since they no longer owe more on their mortgages than their homes are worth, it's easier for them to sell their existing home and buy a new one, which in itself helps the market.

Confidence

Less optimism among Americans could slow the holiday shopping season and weigh on economic growth. Consumer spending drives 70 percent of economic activity.

But spending patterns don't always closely follow measures of confidence. Americans sometimes shop more even when they say they are less optimistic.

That's what happened last month. Despite a sharp fall in confidence in October, consumers spent 0.4 percent more at retail stores and restaurants than in September.

Strong auto sales accounted for about half the gain. Restaurants also reported a healthy increase in spending. Americans also spent more on furniture, electronics and clothing. There were some signs of caution: sales at grocery stores were flat and department stores reported only slightly higher sales.

At the same time, improvements in the labor market are helping underpin confidence. The number of job openings in September rose to a more than five-year high, according to Labor Department figures released last week. Payroll gains have averaged 186,300 a month so far this year, up from 182,750 in 2012.

Rising home prices are also propping up balance sheets for some Americans, leaving them with greater means to spend. The S&P/Case-Shiller index of property values in 20 U.S. cities gained 13.3 percent in September from a year earlier, the most since 2006, a report showed this week. Prices nationwide jumped 11.2 percent in the third quarter compared with the same period in 2012, the report said.

1. The material contained on our Website and Economic Calendar must be used at your own risk. Material is believed to be reliable, but we do not guarantee its accuracy or validity, nor is Tradingvesting.com responsible for any errors or omissions which may occur. The analysis and/or recommendations made by Tradingvesting.com do not provide, imply, or otherwise constitute a guarantee of performance. All contents and recommendations are based on data and sources believed to be reliable, but accuracy and completeness cannot be guaranteed. It should not be assumed that future results will be profitable or will equal past performance, real, indicated or implied.Tradingvesting.com website and material contained therein is not a solicitation to participate in the Futures/Stocks/Options Market. This Economic Calendar does not include Earning Releases, Announced Stock Splits, Upcoming Initial Public Offerings with Underwritings or Rating Changes. Tradingvesting.com has attempted to verify the information contained in this calendar. However, any aspect of such info may change without notice. Unless indicated otherwise: economic data is from the U.S and intraday data is at least 20 minutes delayed; all prices are in the local currency; Time is U.S. Eastern Time. Furthermore, there is a very high degree of risk involved in trading.Tradingvesting.com assumes no responsibilities for your trading and investment results, please red our Risk Disclosure.
   
   
2. Tradingvesting.com does not provide investment advice, and does not represent that any of the information or related analysis is accurate or complete at any time. All information on this website are for educational purposes only and are not intended to provide financial advice. Any statements about profits or income, expressed or implied, do not represent a guarantee. Your actual trading may result in losses as no trading system is guaranteed. You accept full responsibilities for your actions, trades, profit or loss, and agree to hold Tradingvesting.com and any authorized distributors of this information harmless in any and all ways. We respect your right to privacy, please click here to view our privacy policy.
   
   
3. U.S. Government Required Disclaimer - Commodity Futures Trading Commission.
   Futures and options trading has large potential rewards, but also large potential risk. You must be aware of the risks and be willing to accept them in order to invest in the futures and options markets. Don't trade with money you can't afford to lose. This website is neither a solicitation nor an offer to Buy/Sell futures or options. No representation is being made that any account will or is likely to achieve profits or losses similar to those discussed on this website. The past performance of any trading system or methodology is not necessarily indicative of future results.
   
   
4. CFTC rule 4.41: Hypothetical or simulated performance results have certain limitations. Unlike an actual performance record, simulated results do not represent actual trading. Also, since the trades have not been executed, the results may have under-or-over compensated for the impact, if any, of certain market factors, such as lack of liquidity. Simulated trading programs in general are also subject to the fact that they are designed with the benefit of hindsight. No representation is being made that any account will or is likely to achieve profit or losses similar to those shown.
   
   
5. Risk Warning: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts. Our linking to these sites does not constitute an endorsement of any products, services or the information found on them. Once you link to another site you are subject to the policies of the new site. By using this site, you agree to the Terms of Service, Privacy Policy and Risk Disclosure. Copyright 2013 Tradingvesting, LLC. All rights reserved. If you have any questions regarding the Online Economic Calendar application, please contact us: click here.
   
   THIS BRIEF STATEMENT CANNOT, OF COURSE, DISCLOSE ALL THE RISKS AND OTHER ASPECTS OF THE COMMODITY MARKETS AND EQUITY MARKETS. PLEASE READ MORE AT: TERMS OF SERVICE.