New Home Sales Plunged Last Month

Sales of new U.S. homes plummeted in April by 16.6% — the most in nearly nine years, dented by the combination of high prices and a steep climb in mortgage rates, Bloomberg reports.

Meanwhile, the Wall Street Journal reports the Fed will face a tough decision regarding “how far and how fast rates need to go up to make a dent in the housing market without triggering a painful economic slowdown.”