Rates are up

September Existing Home Sales rose 10% from August to an annual rate of 4.53 million, above the consensus forecast of 4.25 million. Inventories of unsold existing homes fell 2% to a 10.7-month supply. First-time buyers purchased 32% of homes. Distressed homes accounted for 35% of sales. The September data was encouraging, but investors are concerned that recent issues with foreclosures will lead to a decline in the October figures.