Stock Market Update

The stock market is on track for a lower opening this morning as oil prices rise due to increased hostilities in the Strait of Hormuz. 

Separately, investors have plenty of economic data to review this morning. 

Total housing starts increased 7.2% month-over-month in January to a seasonally adjusted annual rate of 1.487 million units (Briefing.com consensus 1.340 million), with single-unit starts down 2.8%. Building permits decreased 5.4% to a seasonally adjusted annual rate of 1.376 million (Briefing.com consensus 1.392 million), with single-unit permits down 0.9%.

The key takeaway from the report is that it beat expectations thanks to strong growth in multi-unit starts while single-unit housing starts were down 2.8% month-over-month.

Initial jobless claims for the week ending March 7 decreased by 1,000 to 213,000 (Briefing.com consensus 215,000). Continuing jobless claims for the week ending February 28 decreased by 21,000 to 1.850 million.

The key takeaway from the report is that claims remain just above the 200,000 mark, reflecting a low-firing environment.

The trade deficit narrowed to $54.5 billion in January (Briefing.com consensus -$67.9 billion) from a revised $72.9 billion deficit (from -$70.3 billion) in December. The narrower gap was the result of exports being $15.8 billion more than December exports and imports being $2.6 billion less than December imports.

The key takeaway from the report is that the monthly trade deficit returned to the $50 billion range, which has been a familiar zone since last year's implementation of tariffs.