Housing starts reversed two months of declines, as groundbreaking jumped 15.7% in July to a seasonally adjusted 1.09 million units, beating estimates for a 969,000 unit gain.
Separately, the Consumer Price Index rose .1% in July, as rising food prices were partly offset by declining energy cost. For the past 12 months, CPI was up 2.0%, after being at a 2.1% rate in June.
The stronger than expected housing and modest inflation report were view positively by the stock market, as the Dow rose 70 to 16,908; bond prices have seesawed, initially improving but soon falling back—some positive news from the Ukraine may have moved the markets more than the reports. Some investors that were out early with rates may take back any improvements.
Capital City Bank
Mortgage Account Executive
1301 Metropolitan Blvd. Tallahassee, FL 32308
Toll Free: 800.245.7194