U.S. to see solid employment growth in near future

The S&P/Case-Shiller 20-City Home Price Index in the U.S. rose more than expected in September. The index shows some modest acceleration in the pace of house price gains in United States. 

In the Chicago MSA, house prices fell a very modest 0.02%. But at a aggregate level, home prices were increased by 5.5% against 5.1% in previous month. Prices of the house were up or at least flat in 19 of 20 major metropolitan statistical areas (MSAs).

"We expect solid employment growth and modest wage increases to continue to support the housing market. We see ongoing gradual increases in house prices, a steady rise in residential construction, and further gains in new and existing home sales", argues Barclays.