After surprising top the upside in August, Housing Starts and Building Permits disappointed in September, declining more than expected (-0.5% MoM and -2.9% MoM respectively)...
Source: Bloomberg
Under the hood, multi-family permits plunged 10.8% MoM (and multi-family starts dropped for the second straight month). Single-family starts rose 2.7% MoM and permiots inchjed higher by 0.3% MoM...
Source: Bloomberg
Rate-cut expectations appear to have taken the excitement out of the building market...
Source: Bloomberg
Housing Completions also dropped (but the BLS thinks construction jobs continue to rise non-stop)...
Source: Bloomberg
So, The Fed cuts short-term rates... mortgage-rates rise... and builders slow their building plans... that's not how it's supposed to work!
After surprising top the upside in August, Housing Starts and Building Permits disappointed in September, declining more than expected (-0.5% MoM and -2.9% MoM respectively)...
Source: Bloomberg
Under the hood, multi-family permits plunged 10.8% MoM (and multi-family starts dropped for the second straight month). Single-family starts rose 2.7% MoM and permiots inchjed higher by 0.3% MoM...
Source: Bloomberg
Rate-cut expectations appear to have taken the excitement out of the building market...
Source: Bloomberg
Housing Completions also dropped (but the BLS thinks construction jobs continue to rise non-stop)...
Source: Bloomberg
So, The Fed cuts short-term rates... mortgage-rates rise... and builders slow their building plans... that's not how it's supposed to work!