The number of problem U.S banks and thrifts rose to 305 in the first quarter of 2009, up 40% from 252 in the prior quarter and marking the highest number since 1994, the FDIC reports.
While the pace of sales of existing homes in U.S. rose 2.9% in April, the inventory of existing homes for sale rose a hefty 8.5% to 3.97 mln, not very encouraging.
Meanwhile the highest home loan rates in more than two months drained demand for refinancing last week, dragging total U.S. mortgage applications to the lowest level since early March. Refinancing has been the lifeblood of a renewed push for mortgage funding for much of this year but even that has lost steam.
The various bits of news have helped dent risk appetite and stocks have turned lower. This has put EUR/USD and cable under some pressure.
Cable has dipped back below 1.6000 to 1.5995 at writing, while EUR/USD has slipped to 1.3905.
