The Commerce Department reports housing starts for July ran at a 1.16 million seasonally adjusted annual rate. That’s 4.8% below June, and 5.6% lower compared to a year ago. It was weaker than expected. Economists expected 1.23 million annually. Housing permits which lead starts, fell 4.1% in July compared to June, to a seasonally adjusted annual 1.22 million pace but they 4.1% higher than in July 2016.
Minutes from the Federal Open Market Committee’s July meeting, are due at 11 am Pacific Time. Investors will look at them for clues when the Fed may next raise interest rates, how many rate hikes can be expected over the rest of 2017, and commentary on inflation. Traders on the federal-funds futures market ramped up their bets this week for one more rate hike this year to above 50%, compared with 37.4% last Friday, according to CME Group data.
Serving the West Side first, I am Bill Roller of BR Capital for 1360 KUIK.
