Free Trial

Housing Starts Slide As Start To Replicate Downturn In Sales

CANADA DATA
  • We have seen two weaker than expected housing releases for January, with existing home sales falling -3.0% M/M (cons -2.5%) after +1.3% M/M.
  • More notable though was housing starts sliding from 248.3k to 215.4k (cons 245k) for a -13% drop led by multi-units -20% with single-detached +3%.
  • Starts have begun to follow the much heavier decline in home sales seen for some time now, although interestingly despite only a recent contraction in new construction, residential investment in the national accounts has been weighing on GDP growth for some time – see chart.
  • The data remain consistent with a continued “substantial” decline in housing activity as the BoC noted in its Jan 25 rate announcement.

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.