Construction in the US is soaring, with permits at their highest levels in nearly five-and-a-half years. Permits rose 6.2 per cent to an annualised pace of 1.03m in October. Analysts had expected an increase to just 0.93m.
Paul Diggle of Capital Economics attributed the jump to the strong and often volatile multi-family sector, but said that this is an "important part of recovery and can't be ignored".
September permits increased just 5.2 per cent to 0.974m. That data was delayed by the temporary government shutdown at the beginning of October.
The founder of Nanex, a market analysis company, says the reaction was muted:
8:30 Housing Starts - that was the quietest reaction. Ever.— Eric Scott Hunsader (@nanexllc) November 26, 2013