Deutsche Bank: US Housing

Deutsche Bank: US Housing
Published: 15 October 2003

New analysis from Deutsche Bank specialists suggests new US housing starts
are still performing well

US housing starts in August were at a seasonally
adjusted rate of 1,820,000, 3.8 per cent below the revised estimate for July
2003 of 1,892,000 and 11.7 per cent above the August 2002 estimate of
1,630,000. Performing stronger, permits were at a seasonally adjusted rate
of 1,886,000, 4.8 per cent above the revised July 2003 rate of 1,800,000,
and is 10.7 per cent above the August 2002 estimate of 1,704,000. The 3.8
per cent decline does not cause any real concern, given that July's reading
was the highest in 17 years. Moreover building permits performed very well
so we should see stable figures in the coming months. Regionally, starts
fell in all but the Midwest, which posted a moderate gain. Wet weather in
the Northeast following the previous month's extremely strong recording,
helps explain the 23.3 per cent decline in starts for the regio