NDR Signals

NDR:  Springtime Housing Bloom?

Written by Ned Davis Research | Mar 20, 2024 2:32:09 PM

Chart of the Week | Housing Starts Rebound; Builder Confidence Improves

Housing starts rebounded 10.7% in February, exceeding consensus estimates and reversing most of January’s weather-related decline. This represents the fifth increase in the past six months and the highest level since July 2022 on a three-month average basis.

We expect to see even stronger activity this spring as sentiment continues to reflect "a notable improvement in builder confidence".  As shown below, the NAHB/Wells Fargo Housing Market Index (HMI) has historically led housing starts. Its March reading of 51 marked its fourth consecutive gain and highest reading since last July.

"NDR Daily Economic Perspectives" combines key U.S. economic data releases into a concise summary with perspectives from our Senior U.S. Economist Veneta Dimitrova and access to corresponding charts and indicators. To learn more: https://www.ndr.com/web/ndr/publications/-/c/BEC_E202403181*PDF