Pending Home Sales, which measure signed contracts on existing homes, not new construction, were flat last month, surprising the market that had expected a gain, especially with the lower rates. Inventory is still a major challenge.

December should tell a different story. More potential buyers are applying for loans, and more potential sellers are thinking that maybe it’s the right time to sell.

Initial Jobless Claims are flat, while Continuing Claims rose by 14,000 to 1.875 million, one of the highest readings since November 2021. This is indicative of a weaker labor market.

What this really means is the economy is slowing, which helps with inflation and causes mortgage rates to drop.