Pending Home Sales Fall 1.8% In June

A gauge of pending home sales fell in June, pulling back from May's reading, which was the highest in more than nine years, a trade group said Wednesday. The index from the National Association of Realtors reached a seasonally adjusted 110.3 in June, down 1.8% from 112.3 in May, signaling that upcoming deals could slow. June is the first decrease in six months. "The demand is there for more sales, but the determining factor will be whether or not some of these buyers decide to hold off even longer until supply improves and price growth slows," said Lawrence Yun, NAR's chief economist. Economists polled by Dow Jones Newswires had expected June growth of 1%. Pending sales typically close within two months. An index reading of 100 equals the average contract activity level in 2001.