Stock Market Update

The S&P 500 futures are up eight points and are trading 0.1% above fair value, the Nasdaq 100 futures are up 52 points and are trading 0.2% above fair value, and the Dow Jones Industrial Average futures are up 51 points and are trading 0.1% above fair value.

Housing starts increased 9.6% month-over-month to a seasonally adjusted annual rate of 1.356 million units (Briefing.com consensus 1.320 million), bolstered by a 15.8% increase in single-unit starts. Building permits increased 4.9% month-over-month to a seasonally adjusted annual rate of 1.475 million (Briefing.com consensus 1.415 million), aided by a 2.8% increase in single-unit permits.

The key takeaway from the report is that single-unit starts and permits were up in every region, reflecting increased activity among builders that has been facilitated by sliding interest rates and pent-up demand.

Treasury yields are little changed after the data. The 10-yr yield remains at 3.68% and the 2-yr yield moved from 3.63% to 3.62%.