After surprising top the upside in August, Housing Starts and Building Permits disappointed in September, declining more than expected (-0.5% MoM and -2.9% MoM respectively)…

Source: Bloomberg

Under the hood, multi-family permits plunged 10.8% MoM (and multi-family starts dropped for the second straight month). Single-family starts rose 2.7% MoM and permiots inchjed higher by 0.3% MoM…

Source: Bloomberg

Rate-cut expectations appear to have taken the excitement out of the building market…

Source: Bloomberg

Housing Completions also dropped (but the BLS thinks construction jobs continue to rise non-stop)…

Source: Bloomberg

So, The Fed cuts short-term rates… mortgage-rates rise… and builders slow their building plans… that’s not how it’s supposed to work!