U.S. Economic Indicators

The National Association of Realtors Pending Home Sales Index rose 44.3% in May (down 5.1% year-over-year). NAR reports that the historic monthly gain in contract signings could be a sign that the housing market is poised to lead the way to a broader economic recovery. NAR Report

U.S. News

The Wall Street Journal reports that banks are cutting back sharply on consumer lending as they struggle to assess borrowers’ creditworthiness as many missed loan payments aren’t reflected in credit reports per certain provisions of the coronavirus stimulus package. As loan originations fall to record lows, lenders are looking at new data sets, including phone records and deposit data, to better assess borrower risk. WSJ

The Financial Times reports that the United States-Mexico-Canada Agreement (USMCA), set to replace NAFTA on Wednesday, is facing a rocky start amid strained supply chains from the pandemic and investor discomfort with recent Mexican policy changes. The current situation could be a golden opportunity for attracting investors to North America as companies seek to diversify supply networks outside of China. FT