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US – May Housing Starts
20/06/2018 09:21 am MYT
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Housing starts in May rose 5.0%, month-on-month, and 20.3%, year-on-year, to a seasonally-adjusted annual rate (SAAR) of 1.350 mln units. This is its highest level since Jul 2007 – see figure 1. The number of single-family housing units under construction increased by 3.9%, month-on-month, while the number of multi-family housing units increased by 11.3%. Year-on-year, single- and multi-family housing units respectively jumped 18.3% and 27.4% to a SAAR of 936,000 units and 404,000 units. Building permits, an indication of future construction activity, fell 4.6% from Apr but rose 8.0% from a year ago to a SAAR of 1.301 mln units.

 

Homebuilders remained optimistic as consumer demand continues to grow. However, there are concerns over supply-side constraints, particularly the rising cost of lumber, which may affect housing affordability.

 

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Note from Publisher
i Capital will pause its publication for one week in the week beginning 8 Apr. However, www.icapital.biz will be updated as usual. Apart from the public holidays, the operating hours of our Kuala Lumpur office will be as usual. Volume 35, number 32 of i Capital will henceforth be dated 18-24 Apr 2024.

Some people have accused i Capital and Tan Teng Boo of being pro-China and they are very uncomfortable with it. Well, according to a recent survey conducted by an independent think-tank in Singapore, for the first time since the survey was conducted, there are more people in ASEAN favouring China over the US – see this week’s write-up on Hong Kong for more. The shift in sentiment is not surprising given the US brazen hypocrisy, fondness of playing moral police, and forcing her views and values on others. In the past, small countries had to endure US bullying silently. Now, the rise of China has provided ASEAN and developing countries in general the courage to voice their dissatisfactions with the US. In the end, the truth always prevails.
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