family home sales unexpectedly fell in June, but a sharp rise in prices and declining supply suggested the market for new houses was starting to stabilize, a government report showed on Tuesday, according to Reuters. Other data showed consumers grew more confident about the future this month, even though there were still concerns about lack of jobs. The Commerce Department said new single family homes sales slipped 1 percent to a seasonally adjusted 312,000-unit annual rate. However, the median sales price for a new home increased 5.8 percent last month to $235,200. Compared to June last year, the median price rose 7.2 percent. The rise in prices is the latest sign that home values are starting to stabilize. U.S. stocks pared losses as a better-than-expected reading on consumer confidence boosted investor optimism, while U.S. bond prices were steady at higher levels. The dollar fell because of the stalemate in Washington over raising the debt limit. The Conference Board said on Tuesday its index of consumer attitudes rose to 59.5 from 57.6 in June, beating economists expectations for a reading of 56.0. The reports were hopeful signs for the economy, which has struggled to pull out of a soft-patch. Recent data ranging from employment to retail sales suggest growth might not rebound as strongly as initially anticipated, and economists warn that failure to raise the country's debt limit could push the fragile economy over the edge. The government is expected to report on Friday that the economy grew at a 1.8 percent annual rate, according to a Reuters survey, after a tepid 1.9 percent pace in the first three months of the year. -- SPA
