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“One of the biggest concerns is the housing market,” said Lindsey Piegza, chief economist for Stifel, on CNNMoney’s “Markets Now” live show Wednesday. “It’s throwing up a very large red flag and suggests maybe this 4% growth we saw in the second quarter is not sustainable.”
Home sales have declined in four of the past five months as housing prices have grown — but paychecks have remained stagnant. Many people can’t afford to buy homes, and those who can are taking on a lot of debt toget into them.