Brazil homebuilding index keeps eroding in December

An indicator of home building activity in Brazil eroded further in December as a prolonged recession worsened unemployment, wages and home pricing in Latin America's largest economy. The Radar Abrainc-Fipe indicator, which groups 12 variables into an index measuring home building activity on a scale of 0 to 10, fell by 0.9 point from a year earlier to 2.4 points, research center Fipe and industry group Abrainc said. Three of the 12 items that compose the index - employment, wages and home prices - touched the lowest level on record, according to a statement. The index compiles data since January 2004. Still, the variable reflecting available credit and the economic outlook showed some improvement in December. The Abrainc-Fipe index reflects the state of Brazil's housing market through data related to macroeconomic conditions, credit markets and real estate demand.