Home prices in the U.S. dropped for the fifth month in a row during November and are poised to continue the slide concern over a potential double dip in prices, according to Reuters. On Tuesday, the Standard & Poor’s/Case-Shiller composite index of 20 metropolitan areas in the U.S. was seen 0.5% lower for November from the month before, bringing the annual price change to a 1.6% decline, and both figures were roughly in line with expectations. The data showed that 16 of 20 cities posted annual prices declines to November, while 19 of them saw monthly price declines.
David Blitzer, the Chairman of S&P’s index committee, said “A double dip could be confirmed before Spring,” and Uri Landesman of Platinum Partners said in such a scenario, it is unlikely that the economy would “get the consumer back in a meaningful way.” The concern over the economy was tempered somewhat by a separate report from the International Monetary Fund that praised the Federal Reserve for moving to stimulate the economy, according to Financial Times. The report raised the 2011 growth forecast for the U.S. 0.7% to 3% of gross domestic product.