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Unexpected drop in new home sales hurts

October 29, 2009

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Markets fell after the Commerce Department said sales of new homes dropped 3.6 percent in September. Analysts had expected an increase. And Goldman Sachs added to investors’ unease by reducing its expectation that GDP rose at an annual rate of 2.7 percent from 3 percent. The government’s report is due today. Oil fell more than 2 percent on the Merc.