Housing Starts Come in a Little Light

The Census Bureau reported this morning that Housing Starts in May tallied 974k instead of the 1,100k estimate that surveys suggested. That number represents a 4.3% rise over April’s upwardly revised count of 934k. Despite coming in lower than predicted, May’s activity still represents a comeback from the prior month’s 26% slide. Similarly for Building Permits, May’s total of 1,220k was slightly below the 1,245k prediction, but still represents a 14.4% increase from April’s disappointing 21.4% decline. Before that news, the Mortgage Bankers Association reported that, for the week ending June 12, Mortgage Applications rose 8% on the heels of the prior week’s boost of 9.3%.

In early trading, Treasury prices are little changed with the Ten Year’s yield hovering around the same 75 basis points it wound up with yesterday. Crude oil is also little changed at around $38 while gold is off about $7 to $1,710. Later this morning, Fed Chairman Jerome Powell will conclude his Congressional testimony with an appearance before House Banking Committee.