4/20/21 – EconUpdate by P. Duffy
EconUpdate by P. Duffy
Building permits rise 2.7 percent in March, rebound 30.2 percent year-on-year
What does this mean? Despite supply chain and labor challenges, builders remain optimistic about sustained demand as the economy reopens.
Privately-owned housing units authorized by building permits in March were at a seasonally adjusted annual rate of 1,766,000. This is 2.7 percent above the revised February rate of 1,720,000 and is 30.2 percent above the March 2020 rate of 1,356,000. Single-family authorizations in March were at a rate of 1,199,000; this is 4.6 percent above the revised February figure of 1,146,000
Housing starts surge 19.4 percent in March, rebound 37.0 percent year-on-year
What does this mean? Starts are rebounding from severe winter weather in February and the start of pandemic-related shutdowns a year ago to meet pent-up demand.
Privately-owned housing starts in March were at a seasonally adjusted annual rate of 1,739,000. This is 19.4 percent above the revised February estimate of 1,457,000 and is 37.0 percent above the March 2020 rate of 1,269,000. Single-family housing starts in March were at a rate of 1,238,000; this is 15.3 percent above the revised February figure of 1,074,000.
Consumer sentiment index edges up 1.9 percent in early April read, rises 20.5 percent year-on-year
What does this mean? More consumers are seeing the end of the pandemic and ready to spend as businesses reopen.
Consumers in early April reported surging economic growth and strong job gains due to record stimulus spending, low interest rates, and the positive impact of vaccinations. The Sentiment Index rose to its best level in a year on the strength of recent gains in current economic conditions, while future economic prospects remained unchanged from March.