USD: Housing is in focus this week

US housing is in focus this week and both existing and pending home sales could best their cycle highs which were reached only last month. 

"We look for June existing home sales up from 5.35mn to 5.40mn (supported by the upward march in pending home sales in the last 5m)," says RBC Capital Markets.

Likewise, the double-digit expansion in mortgage purchase apps (+15%y/y in June) points to a constructive print in new home sales at 550K versus 546K prior. The housing space should make a firm contribution to Q2 growth, adding +0.7% to the topline estimate of +3.8%.