Key Impacts from Ports, Housing, and Economic Shifts

Originally published December 27, 2024. This version was rebuilt from the Census Bureau's new home sales report, BEA's personal income and outlays report and the ILA for the FIN archive, and the facts are as of that date.

The last full week of 2024 closed out the year with better housing data, steady spending and an unresolved port contract that importers were watching closely.

The short version

• Census said new home sales rose 5.9% to an annual rate of 664,000 in November.
• BEA said personal consumption expenditures rose 0.4% in November.
• The ILA said talks with port employers had broken down over semi-automation.

Housing

Sales of new single-family houses ran at a seasonally adjusted annual rate of 664,000 in November, 5.9% above October's revised 627,000. The median sales price was $402,600 and 490,000 new homes were for sale.

Together with existing-home sales up 4.8%, the report pointed to more households moving in early 2025. New homes in particular tend to need a full set of furniture.

Economic shifts

BEA said personal consumption expenditures increased $81.3 billion, or 0.4%, in November. After adjusting for prices, real spending on goods rose 0.7% while services rose 0.1%.

The PCE price index rose 0.1% for the month, a mild reading that gave shoppers some breathing room heading into the holidays.

Ports and trade

The International Longshoremen's Association had told members that talks broke down when port employers raised their intent to implement semi-automation. With no deal in place at year end, importers of furniture from Asia faced the risk of another East and Gulf Coast strike after the October walkout.

For furniture importers the stakes were high, since a second shutdown would delay spring deliveries just as retailers restocked after the holidays.

Update. On January 8, 2025 the ILA and USMX reached a tentative six-year agreement, averting any work stoppage on January 15.

Closing thoughts

Housing and spending ended 2024 on firmer footing, while the port contract remained the biggest near-term supply risk for imported furniture.

Related on FIN

• Move-In Furniture Tickets Are Drying Up
• The Freight Mafia's New Playbook

Sources

• U.S. Census Bureau and HUD, New residential sales, November 2024
• U.S. Bureau of Economic Analysis, Personal income and outlays, November 2024
• International Longshoremen's Association, Message to members on the breakdown of negotiations with USMX
• International Longshoremen's Association, ILA and USMX tentative agreement (Jan. 8, 2025)