Housing starts up this morning

9.1% was just reported. Futures are above fair value. In the middle of earnings season, companies are reporting profits.

The sky is not falling! Will anyone notice?

Comments

  1. Certainly not the Democrats!

  2. No – because the news stations are only reporting the low economic confidence ratings.

  3. Not so fast:
    Construction on new single-family homes, however, dropped 5.3 percent for the month. The overall gains stemmed from a 103 percent increase in construction of multi-family dwellings in Northeastern states. The rest of the country showed a decline in groundbreakings. [. . .[Some economists pointed to a change in the building regulations in New York City. [. . .]

    Last month, housing starts were 27 percent below their level in June 2007. Building permits were 24 percent behind their pace in June 2007.

    I’m not trying to celebrate bad news (and goodness knows I don’t want to be seen as a whiner!), but this one stat is not only skewed by anomalies out of NYC but also not enough to outweigh what is real sluggishness all over in the economy.

  4. Not a problem. The stat still holds for me. You on the other side are the first to celebrate an “anomaly” when it comes your way. I’m quite certain this statistic had “anomalies” to the downside, too, that were woven into your fabric of doom and gloom for our country.

    I’ll just rename you “Le Mannequin Pis.”

  5. Well, there’s also the problem with this:
    In the middle of earnings season, companies are reporting profits.

    The market rallied the last couple of days because 1) oil prices have fallen among lower demand and 2) losses have been smaller than expected in the big stocks–JP Morgan, Wells Fargo, airlines …

    The sky may not be falling, but let’s not kid ourselves that it’s soaring upward again.

  6. Le Mannequin – I’m perfectly happy to compromise on the point that we have a strong and slowly building economy.

    When I was drinking the morning cup, CNBC was talking profits – not smaller losses – in a number of companies. Only a fool thinks our economy is about big companies. And I heard SUPPLY is up, not that demand is down. Plus, remember that little lift o’ the ban that took place a couple of days ago?

    The DOW had it best two day gain since 2002 and oil settled below $130 a barrel.

    “Pis” on something else for a change. Sure there’s a chance it won’t last, but there’s also a chance the economy could rebound in time for the election. Whatever will you guys do?