Housing Starts Fall 3.8% From 17-Year High
U.S. housing starts in August declined 3.8% from its 17-year high the month before as builders kept filling orders previously placed, the Commerce Department reported Wednesday. Building permits, an indicator of future production, rose 4.8% to 1.886 million, the highest this year.
Starts declined 23.3% in the Northeast to 145,000, 2.7% in the South to 851,000 and 1.8% in the West to 436,000. Starts rose 1% in the Midwest to 388,000.
Increased construction likely means more business for flatbed trucking companies that haul building materials. Also, in the case of home construction, dry van freight can see an increase in demand for the delivery of household appliances and furniture.
Builders started work on 1.820 million homes at an annual rate last month, down from the revised 1.892 million started in July.
The surge in building permits, which often provide a signal of construction activity in coming months, have held above a 1.8 million annual rate for four straight months. That has not happened since 1973, Commerce said.
10633
