Sales of new U.S. single-family homes jumped to a 13-month high in April, boosted by a persistent shortage of previously owned houses on the market, though sales for the prior month were not as strong as previously thought.

New home sales increased 4.1% to a seasonally adjusted annual rate of 683,000 units last month, the highest reading since March 2022, the Commerce Department said on Tuesday. March's sales pace was revised lower to 656,000 units from the previously reported 683,000. The government revised the sales, inventory and months' supply data going back to January 2018.

New home sales are counted at the signing of a contract, making them a leading indicator of the housing market. They, however, can be volatile on a month-to-month basis.

Economists polled by Reuters had forecast new home sales, which account for a small share of U.S. home sales, would fall to a rate of 665,000 units. Sales rebounded 11.8% on a year-on-year basis in April.... Read More: Newsmax