Tag Archives: construction
Employment Surprise to the Upside; Unemployment Rate at 5-Year Low
Payroll employment rose by 165,000 in April, a slight upside surprise. More importantly, data for February and March were revised up significantly, providing some reassurance that the economy will be resilient if not robust in the second quarter.
Construction Spending and Manufacturing Weak
Construction spending plummeted 1.7% in March, and was revised down for January and February. This suggests downward revisions to first quarter growth, which also disappointed. The largest declines were in the public sector, driven by declines at the Federal level where cuts have been the deepest. Declines were broad-based and covered every category with the [...]
New Home Sales Edge Higher in March
New home sales rose to a 417,000-unit pace in March, a bit higher than the 411,000-unit pace of February. The South, with more available land to develop, dominated gains. The Midwest and the West experienced losses. Builders have been complaining that it is particularly hard to find land, supplies and workers at reasonable prices in [...]
Tight Inventories Constrain Home Sales
Existing home sales moderated to a 4.92 million unit pace in March, after being revised down to a 4.95 million unit pace in February. A lack of inventories remains the primary complaint among realtors as buyers outnumber sellers. The supply of housing was 4.7 months’ supply in March, well below the six-month norm. Indeed, sales [...]
ADP Employment Report Disappoints
ADP private payroll employment increased by 158,000 in March, well below the 200,000 expected by most in the financial markets. Small business employment accounted for about half of the gains; medium and large-sized firms essentially split the rest. Service sector jobs accounted for the bulk of gains, something which continues to worry the Federal Reserve; [...]
Construction Activity Bounces Back on Housing
Construction spending rose 1.2% in February after declining in January. We are still off the high hit in December. Gains in the private sector continued to outpace gains in the public sector. Residential construction was among the strongest categories. Single-family home construction picked up, however, while multifamily building continued to cool. The shift from multi [...]
New Homes Fall Slightly
New home sales fell 4.6% in February to a 411,000 unit rate, after jumping in January. The most severe drop came in the Northeast, but the underlying trend in the housing market remains positive. Indeed, builders are complaining about bottlenecks in the market, which are delaying the time to build and deliver, including hiring highly-skilled [...]
Housing Starts Rise in February; Permits Jump
Housing starts rose to 917,000 in February, slightly above the 910,000 pace of January. Single family housing starts rose to a 618,000 unit pace, up slightly from the 615,000 pace of January. Multi-family starts averaged a 285,000 unit pace, which is up slightly from January, but off significantly from the robust 300,000 plus pace we [...]
Industrial Production Higher on Utilities and Durables
The index of industrial production jumped 0.7% in February as more seasonal weather returned, prompting many consumers to raise thermostats and businesses to increase production of everything from vehicles to appliances, electronics, furniture and carpeting. Moreover, manufacturing gains for the previous two months were revised up. The pickup in production in consumer durables reflects several [...]
Employment Surprises to Upside
Payroll employment jumped 236,000 in February, well above market expectations, but net job gains for the previous two months were revised down. Private sector jobs rose 246,000, underscoring a sense that the recovery is finally gaining some momentum. The imprint of a stronger housing market was all over the report. Construction employment rose by 48,000 [...]
Bloomberg asks Diane Swonk to explain Fed concern over unemployment
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