US homebuilder confidence down unexpectedly in May

Washington

CONFIDENCE among US homebuilders unexpectedly fell in May, reflecting cooling sales and slower buyer traffic, a sign the residential real-estate market will take time to gain momentum.

The National Association of Home Builders/Wells Fargo sentiment gauge dropped to 54 this month from 56 in April, figures from the Washington-based group showed. Readings greater than 50 mean more respondents report good market conditions. The median forecast in a Bloomberg survey called for an increase to 57.