A report released Wednesday stating new home purchases in May fell 33 percent sent stocks tumbling early in the morning.

The drop, down to an annual rate of 300,000, puts new home sales at a record low.

“Housing numbers are ugly with a capital ‘U,'” Michael Mullaney of Fiduciary Trust Co. told Bloomberg. “It looks like we’re going to double-dip in housing. Investors are concerned.”

Analysts say the reason for the drop was the end of a government tax credit for buying new homes, which caused consumers to purchase fewer of them. But an amendment in a current jobs bill going through the Senate would extend the deadline to apply for the $8,000 credit for first-time home buyers.

Numbers released by the U.S. Census Bureau showed that sales were also 18 percent lower than last May.

The decrease caused a drop-off in stocks early Wednesday morning with the Dow declining 41 points and the Standard and Poor’s 500 falling 0.7 percent, Bloomberg reported.