New Home Sales Plunged in May

This is not good economic news.  According to the Commerce Department, the sharp decline in housing sales was worse than expected. Sales were down across all four regions. Economists surveyed by Dow Jones Newswires had estimated sales would fall 20.6% to 400,000 because of the April 30 end of a tax credit for first-time buyers that was enacted in February 2009 and extended.  The level of 300,000 homes sold was the lowest since the government begin compiling this data in 1963. The 32.7% decrease was also a record.