Building and housing starts data for January 2024
- Prior month housing starts 1.460 million. Prior month building permits 1.495 million
Housing Starts details:
- Housing starts 1.331M vs 1.460M estimate
- Housing starts change for January -14.8% vs -4.3% prior
Housing starts represents a slight decrease of 0.7% from the January 2023 rate of 1,340,000, with a margin of error of ±11.7%.
- Single-family housing starts in January were at a rate of 1,004,000, marking a 4.7% decrease from the revised December figure of 1,054,000, with a margin of error of ±11.6%.
- The rate for units in buildings with five units or more was 314,000 in January.
Building Permits Details:
- Building permits 1.470M vs 1.509M estimate
- Building permits change -1.5% vs 1.9% last month.
Building permits are up 8.6% increase compared to the January 2023 rate of 1,354,000.
- Single-family authorizations in January were at a rate of 1,015,000, which is 1.6% higher than the revised December rate of 999,000.
- Authorizations for units in buildings with five units or more were at a rate of 405,000 in January.
Housing Completions:
- Privately-owned housing completions in January were at a seasonally adjusted annual rate of 1,416,000.
- This represents an 8.1% decrease from the revised December estimate of 1,541,000, with a margin of error of ±10.0%.
- However, it is a 2.8% increase from the January 2023 rate of 1,377,000, with a margin of error of ±14.6%.
- Single-family housing completions in January were at a rate of 857,000, which is 16.3% lower than the revised December rate of 1,024,000, with a margin of error of ±7.9%.
- The rate for units in buildings with five units or more was 538,000 in January
The market is reacting to the PPI data which came in higher than expectations. Yield higher. Stocks initial reaction is lower (Dow Industrial Average -160, S&P -6.23 points. The NASDAQ is still up 20 points but well off its highs).
The market is now pricing in 81 basis points of cuts in 2024 vs 91 basis points before the data.
