Howestreet.com - the source for market opinions

ALWAYS CONSULT YOUR INVESTMENT PROFESSIONAL BEFORE MAKING ANY INVESTMENT DECISION

May 19, 2020 | Housing Starts Plunge a Record 30 Percent

Mike 'Mish' Shedlock

Mike Shedlock / Mish is a registered investment advisor representative for SitkaPacific Capital Management. Sitka Pacific is an asset management firm whose goal is strong performance and low volatility, regardless of market direction.
Housing starts fell 30.2%, Permits 20.8%, and completions 8.1% due to Covid-19.
The Residential Construction Report stats record the the greatest month-over-month decline in the history of the stats. The housing data dates to 1959.Starts vs Econoday Consensus

  • Starts: 0.891 Million Seasonally Adjusted Annualized
  • Consensus Starts: 0.968 Million

Permits vs Econoday Consensus

  • Permits: 1.074 Million Seasonally Adjusted Annualized
  • Consensus Permits: 1.033 Million

Housing Starts, Permits, Completions Month-Over-Month Comparisons

Housing Starts, Permits, Completions Month Over Month 2020-05

A data download from Fred shows the next biggest month-over-month declines were 26.4% in March of 1984, and 26.2% in March of 1960.

The Econoday consensus was

Housing Starts, Permits, Completions Year-Over-Year Comparisons

Housing Starts, Permits, Completions Year Over Year 2020-05

Year-Over-Year declines are not as large as in the Great Recession.

A data download from Fred shows the next biggest year-over-year declines were 54.8% in January of 2009, 52.8% in April of 2009, and 50.6% May of 1980. iand 26.2% in March of 1960.

Mish

STAY INFORMED! Receive our Weekly Recap of thought provoking articles, podcasts, and radio delivered to your inbox for FREE! Sign up here for the HoweStreet.com Weekly Recap.

May 19th, 2020

Posted In: Mish Talk

Post a Comment:

Your email address will not be published.

All Comments are moderated before appearing on the site

*
*

This site uses Akismet to reduce spam. Learn how your comment data is processed.