US July housing starts down 11%

Source : Business Times - 19 Aug 2008

US home building projects started in July fell 11 per cent to the lowest annual rate in more than 17 years, while building permits tumbled 17.7 per cent, the Commerce Department reported on Tuesday.

The annual pace of housing starts at 965,000 slimly beat Wall Street’s expectations of 960,000, but it was the lowest since a 921,000 unit rate in March 1991. In June, housing starts rose 10.4 per cent, revised up from the previously reported 9.1 per cent.

Building permits, an indicator of future construction, dropped to an annual rate of 937,000, well below the 970,000 analysts polled by Reuters had forecast. It was the lowest level since March, when they were 932,000, the Commerce Department said. — REUTERS