New home sales dropped to a record low of 308,000 homes purchased at an annual rate in February, as inventories continue to rise, the Commerce Department reported yesterday.

Sales fell 2.2% from the January sales total, which was revised higher to 315,000 from 309,000. December sales were revised to 345,000 from 348,000.

The February new-home sales record low followed a record in January. The data series began in 1963. Sales have fallen for four straight months.

Economists polled by Thomson Reuters expected 320,000 new home sales for the month.

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