Home Prices in U.S. Probably Fell, Consumer Confidence Plunged

Residential real estate prices probably dropped in the year ended June by the most in 19 months, indicating the housing market continues to hamper the U.S. recovery, economists said before a report today.

The S&P/Case-Shiller index of home values in 20 cities fell 4.6 percent from June 2010, the biggest 12-month decrease since November 2009, according to the median forecast of 31 economists surveyed by Bloomberg News. Another report may show consumer confidence sank in August to the lowest level in 10 months.