Home Sales Show Economic Vigor

Strong new-home sales and declining unemployment show the U.S. economy had considerable vigor just before the stock market’s wild gyrations this week.

Sales of new single-family homes fell 0.2 percent in September to a still-strong seasonally adjusted rate of 800,000 a year, the Commerce Department said Thursday.

It was the second decline in a row. Yet, September marked the fourth consecutive month of sales at or above the 800,000 pace, the longest such stretch in 19 years.

Meanwhile, the Labor Department said new applications for unemployment insurance fell by 16,000 to a seasonally adjusted 297,000 last week, the lowest since late July.

Since the winter, the nation’s unemployment rate has been at or under 5 percent, the lowest sustained joblessness in 24 years.