Texas factory activity totters,US Pending Home Sales plunge as economic recovery woes

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Texas factory activity totters,US Pending Home Sales plunge as economic recovery woes

On Monday, there had been a deluge of dismal US Govt. data as the number of contracts to purchase existing homes scaled down for a second straight month in October, while manufacturing activity in US mid-West and Texas tottered last month, signalling a steep slowdown in economic recovery amid a record rise in pandemic cases as forecasted by the US President-elect Joe Biden last week.

In point of fact, latest set of downbeat economic data came forth just days after the US President-elect Joe Biden had told in a statement that the world’s No. 1 economy might witness multiple waves of pandemic resurgence over this winter which in effect could severely batter the country’s economic recovery from a pandemic-led slump.

Nonetheless, China had revealed an upbeat economic recovery last month earlier in the day, pointing towards a shimmering ray of hope for the United States and Europe that a proper containment of pandemic resurgences could rapidly witness a rebound in economic activities with just days remaining before the world’s largest economies have been set to rollout one or two potential pandemic vaccines.

US housing, factory data suggest sluggish recovery; China data reinvigorates hope

Besides, in the latest flashpoint of a record-low mortgage rate in the United States which had ramped up the country’s housing market and led to a rise in property prices amid a steep shortage of available homes for sales, the National Association of Realtors said late on Monday that its Pending Home Sales Index fell by 1.1 per cent to 128.9 last month, while at the same time a year earlier, pending home sales surged by 20.2 per cent.

In tandem, other economic data released on Monday had revealed that the factory activities in Texas and Mid-West had taken a tattering header last month amid a spike in pandemic cases, while Chicago Business Barometer fell to a figure of 58.2 in November from 61.1 scored a month earlier.