Consumer confidence hovered at a 14-month high in May, as optimism over jobs tempered concerns about rising inflation and diminishing government financial stimulus.

Durable goods orders fell in April, the first time in a year. However, the decline was mainly due to a drop in the automotive sector, where an ongoing microchip shortage is an issue.

The labor market continues to show signs of rebounding. Last week's initial jobless claims dropped more than expected to 406,000, a new pandemic low.

Existing home sales fell for the third straight month in April. Demand remained strong, but sales were constrained by inventory, which was down 20%.

Pending home sales also fell in April. Elevated asking prices, reflecting the limited supply of homes on the market, are making properties less affordable and curbing sales.

Home price appreciation is accelerating as buyers continue to fight for limited inventory. Case-Shiller showed a year-on-year gain of 13.3% in March, up from 12% in February.