Existing Home Sales had a reading of 4.62M on Friday, which was lower than the expected 4.68M.

Existing Home Sales  had a reading of 4.62M on Friday, which was lower than the expected 4.68M. Can’t blame the result on weather, but we can blame it on affordability! People are simply not making the money they should to buy houses for sales. Richard Fisher, the President of the Federal Reserve Bank of Dallas, supports the Fed’s continuation of tapering. According to James Bullard, the President of the Federal Reserve Bank of St. Louis, the Fed created a “pessimistic problem” when they announced in December to keep rates low well into 2015. Bullard believes this announcement may have signaled that the economy will not strengthen until next year. As a result, the FOMC rephrased its outlook by adopting thresholds that will give investors indications of when rates may increase. By not having a completion date of the reduction stimulus, Bullard discussed that more aggressive cutbacks should be expected depending on improvements in the labor market. Have a great day.