{"id":53621,"date":"2025-09-25T10:08:55","date_gmt":"2025-09-25T14:08:55","guid":{"rendered":"https:\/\/stockmarketwatch.com\/stock-market-news\/us-housing-market-sees-slight-dip-in-sales-amid-rising-global-debt-fed-official-cautions-on-balance-sheet\/53621\/"},"modified":"2025-09-25T10:08:55","modified_gmt":"2025-09-25T14:08:55","slug":"us-housing-market-sees-slight-dip-in-sales-amid-rising-global-debt-fed-official-cautions-on-balance-sheet","status":"publish","type":"post","link":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/us-housing-market-sees-slight-dip-in-sales-amid-rising-global-debt-fed-official-cautions-on-balance-sheet\/53621\/","title":{"rendered":"US Housing Market Sees Slight Dip in Sales Amid Rising Global Debt; Fed Official Cautions on Balance Sheet"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_82_2 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"#\" data-href=\"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/us-housing-market-sees-slight-dip-in-sales-amid-rising-global-debt-fed-official-cautions-on-balance-sheet\/53621\/#Key_Takeaways\" >Key Takeaways<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"#\" data-href=\"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/us-housing-market-sees-slight-dip-in-sales-amid-rising-global-debt-fed-official-cautions-on-balance-sheet\/53621\/#US_Housing_Market_Shows_Resilience_Despite_Sales_Dip\" >US Housing Market Shows Resilience Despite Sales Dip<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"#\" data-href=\"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/us-housing-market-sees-slight-dip-in-sales-amid-rising-global-debt-fed-official-cautions-on-balance-sheet\/53621\/#Federal_Reserves_Schmid_on_Policy_and_Balance_Sheet\" >Federal Reserve&#39;s Schmid on Policy and Balance Sheet<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"#\" data-href=\"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/us-housing-market-sees-slight-dip-in-sales-amid-rising-global-debt-fed-official-cautions-on-balance-sheet\/53621\/#Global_Debt_Reaches_Staggering_New_Heights\" >Global Debt Reaches Staggering New Heights<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"#\" data-href=\"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/us-housing-market-sees-slight-dip-in-sales-amid-rising-global-debt-fed-official-cautions-on-balance-sheet\/53621\/#US_Stock_Markets_Dip_IBM_Shines_with_Quantum_Partnership\" >US Stock Markets Dip, IBM Shines with Quantum Partnership<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"#\" data-href=\"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/us-housing-market-sees-slight-dip-in-sales-amid-rising-global-debt-fed-official-cautions-on-balance-sheet\/53621\/#Other_Key_Developments_Crypto_Geopolitics_and_European_Finances\" >Other Key Developments: Crypto, Geopolitics, and European Finances<\/a><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"Key_Takeaways\"><\/span>Key Takeaways<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<ul>\n<li><strong>US existing home sales<\/strong> experienced a <em>marginal month-over-month decline<\/em> of <strong>0.2%<\/strong> in August, settling at a <strong>4.00 million unit annual rate<\/strong>, yet still <em>surpassing analyst estimates<\/em> of <strong>3.95 million<\/strong>.<\/li>\n<li>The <strong>median US home price<\/strong> continued its upward trend, rising <strong>2.0% year-over-year<\/strong> to <strong>$422,600<\/strong> in August, reflecting <em>persistent price appreciation<\/em> in the housing market.<\/li>\n<li><strong>Global debt<\/strong> escalated to nearly <strong>$338 trillion<\/strong> in the second quarter of 2025, with major economies and emerging markets contributing significantly to the increase, according to the Institute of International Finance (IIF).<\/li>\n<li><strong>Federal Reserve official Schmid<\/strong> underscored the need for <em>prudent consideration of market effects<\/em> when reducing the Fed&#39;s balance sheet and raised a &quot;big question&quot; concerning appropriate reserve levels.<\/li>\n<li><strong>US stock markets<\/strong> opened lower, with the <strong>NASDAQ 100<\/strong> dropping over <strong>1%<\/strong>, while <strong>IBM (<a href=\"\/stock\/IBM\">IBM<\/a>)<\/strong> shares climbed <strong>2.6%<\/strong> following a partnership with <strong>HSBC (<a href=\"\/stock\/HSBC\">HSBC<\/a>)<\/strong> on a quantum-enabled trading system.<\/li>\n<\/ul>\n<h2><span class=\"ez-toc-section\" id=\"US_Housing_Market_Shows_Resilience_Despite_Sales_Dip\"><\/span>US Housing Market Shows Resilience Despite Sales Dip<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The U.S. housing market saw a slight contraction in August, with <strong>existing home sales falling 0.2% month-over-month<\/strong> to a seasonally adjusted annual rate of <strong>4.00 million units<\/strong>. This figure, while a decline from the previous month&#39;s 4.01 million, still <em>outperformed economist expectations<\/em> of 3.95 million units. Annually, existing home sales increased by 1.8%.<\/p>\n<p>Despite the marginal dip in sales volume, the <strong>median price for existing homes continued to rise<\/strong>, climbing <strong>2.0% year-over-year<\/strong> to <strong>$422,600<\/strong> in August. This marks a consistent trend of price appreciation, with the median home price for existing homes also up from $422,400 in July.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Federal_Reserves_Schmid_on_Policy_and_Balance_Sheet\"><\/span>Federal Reserve&#39;s Schmid on Policy and Balance Sheet<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Federal Reserve official Schmid highlighted the <strong>primary responsibility of the Vice Chair for Supervision<\/strong>. Schmid also raised a &quot;big question&quot; regarding the <em>proper reserve levels for the Federal Reserve&#39;s balance sheet<\/em>. He emphasized the necessity to <strong>carefully consider market effects when reducing the balance sheet<\/strong>.<\/p>\n<p>Schmid further noted that as the Fed approaches its goals, its policy approaches become <em>more precise<\/em>. This commentary suggests a cautious but determined approach to monetary policy and balance sheet normalization.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Global_Debt_Reaches_Staggering_New_Heights\"><\/span>Global Debt Reaches Staggering New Heights<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>A new report from the Institute of International Finance (IIF) reveals that <strong>global debt surged to nearly $338 trillion in the second quarter of 2025<\/strong>. This monumental increase pushed the global debt-to-GDP ratio <em>slightly below 324%<\/em>.<\/p>\n<p>Major countries, including <strong>China, France, the US, Germany, the UK, and Japan<\/strong>, witnessed the <em>biggest rise in their debt levels<\/em>. Emerging market debt also saw substantial growth, increasing by <strong>$3.4 trillion<\/strong> and pushing their debt-to-GDP ratio to <strong>242.4%<\/strong>. Notably, <strong>Canada, China, Saudi Arabia, and Poland<\/strong> experienced the <em>sharpest jumps in debt ratios<\/em>.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"US_Stock_Markets_Dip_IBM_Shines_with_Quantum_Partnership\"><\/span>US Stock Markets Dip, IBM Shines with Quantum Partnership<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>US stock markets opened lower, extending recent falls. The <strong>NASDAQ 100<\/strong> continued its drop, falling <em>over 1%<\/em> in the opening session. The broader <strong>NASDAQ Composite<\/strong> was down <strong>207.03 points, or 0.92%<\/strong>, at <strong>22,290.83<\/strong> after market open. The <strong><a href=\"https:\/\/stockmarketwatch.com\/indices\/dowjones\/today\" data-internallinksmanager029f6b8e52c=\"1\" title=\"Dow Jones Today\">Dow Jones<\/a> Industrial Average<\/strong> declined <strong>110.11 points, or 0.24%<\/strong>, to <strong>46,011.17<\/strong>, while the <strong><a href=\"https:\/\/stockmarketwatch.com\/indices\/sp500\/today\" data-internallinksmanager029f6b8e52c=\"3\" title=\"snp500 today\">S&amp;P 500<\/a><\/strong> fell <strong>41.11 points, or 0.62%<\/strong>, to <strong>6,596.86<\/strong>.<\/p>\n<p>In corporate news, <strong>IBM (<a href=\"\/stock\/IBM\">IBM<\/a>)<\/strong> shares experienced a notable rise of <strong>2.6%<\/strong> after the company announced a partnership with <strong>HSBC (<a href=\"\/stock\/HSBC\">HSBC<\/a>)<\/strong> to launch the <em>world\u2019s first quantum-enabled algorithmic trading system<\/em>.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Other_Key_Developments_Crypto_Geopolitics_and_European_Finances\"><\/span>Other Key Developments: Crypto, Geopolitics, and European Finances<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><strong>Circle<\/strong>, the issuer of the <strong>USDC stablecoin<\/strong>, is reportedly <em>considering reversible transactions<\/em> to help the stablecoin industry become part of the financial mainstream by addressing fraud concerns. Circle President Heath Tarbert noted that allowing refunds in certain cases of fraud would be a significant step.<\/p>\n<p>In Europe, the head of <strong>France\u2019s securities regulator dismissed concerns<\/strong> about a potential financial crisis, even after political instability led to <em>two credit downgrades within a week<\/em>. Meanwhile, <strong>Germany\u2019s Merz<\/strong> is advocating for the use of <strong>frozen Russian assets<\/strong> to unlock <strong>EUR140 billion for Ukraine<\/strong>, as reported by the Financial Times.<\/p>\n<p>On the geopolitical front, the <strong>Israeli military<\/strong> claimed to have concluded a <em>large series of strikes targeting Yemen&#39;s Houthis in Sana\u2019a<\/em>. Separately, <strong>Leonardo<\/strong> signed a <em>contract extension to support the Kuwait Air Force fleet<\/em>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Key Takeaways US existing home sales experienced a marginal month-over-month decline of 0.2% in August, settling at a 4.00 million [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":50383,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center 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