Economic update for the week ending May 20, 2023:
- Stock markets rose all week but dipped on Friday due to the debt ceiling debate. U.S. Treasury bond yields increased, impacting lending rates.
- Regional banks and tech stocks performed well. Tech stocks have recovered from losses in 2022, driven by hopes of AI-driven profits and China's reopening.
- Dow Jones Industrial Average closed at 33,426.63, up 0.3% from last week. S&P 500 closed at 4,191.98, up 1.6%. NASDAQ closed at 12,657.90, up 3%.
- 10-year treasury bond yield closed at 3.70%, up from 3.46% last week. 30-year treasury bond yield ended at 3.95%, up from 3.78%.
- Mortgage rates saw a slight increase. 30-year fixed rate was 6.39%, while the 15-year fixed rate remained unchanged at 5.75%.
- The number of U.S. existing-home sales declined by 23.2% compared to April 2022. Median home price in April was $388,800, down 1.7% from last year. There was a 2.9-month supply of homes for sale nationwide.
- In California, the number of existing-home sales dropped by 36.1% compared to April 2022. Median home price was $815,340, up 3% from March but down 7.8% from last year. There was a 2.5-month supply of homes for sale, which is very low.
