Housing fell 5% in June to 549,000 below expectation of 575,000 and was the lowest in 8 months. This comes after a 33% drop in New Home Sales in the latest survey. Building permits are up but not for single family mostly for multi-family housing. No new tax credit which didn’t help.. and low employment adds to the weakness in the market. Housing and jobs have always been very closely tied together. The senate is expected to pass an Unemployment Benefits extension today for people whose benefits have expired prior to the 99 week maximum…if this passed then this will add to the already ballooning budget deficit.