It’s been a good week for the interest rate markets.
The jobs report released from the Labor Department reported 20,000 new jobs in February, far below forecast of 180,000 and the worst month since September 2017. The report also showed the unemployment rate decreased to 3.8% versus forecast of 3.9%. Of equally large impact was wage growth increasing 3.4% year-over-year exceeding forecast of 3.2% and the highest increase in almost 10 years.
The Commerce Department reported an increase of 18.6% in housing starts for January to a seasonally adjusted annual rate of 1.230 million units. This exceeded forecast of 1.197 million units and halted four consecutive months of decreasing starts. Single-family homebuilding increased 25.1% to an annual rate of 926,000 units, the highest since May 2018 and single-family construction rose in all four regions. The market is taking these overall reports in stride due to a variety of factors that include the government shutdown, weather, employees moving from part time to full time and previous high new jobs in January.
The Altitude Group
REALTOR® | MCNE
REALTOR® | CNE