Mighty Moderation

While June housing starts and permits were disappointing, these data are very volatile, and YTD starts remain up 7.8%; good given the headwinds this sector faces. More interestingly, a key reason the current expansion is now in its tenth year is because housing starts were MIA the first few years of the recovery, due to a glut of foreclosures, and have risen unusually slowly since their recovery began in mid-2011.