Privately-owned housing units authorized by building permits in December were at a seasonally adjusted annual rate of 1,232,000. This is 3.9% below the revised November rate of 1,282,000, but is 14.4% above the December 2014 estimate of 1,077,000. Single-family authorizations in December were at a rate of 740,000; this is 1.8% above the revised November figure of 727,000. Authorizations of units in buildings with five units or more were at a rate of 455,000 in December. An estimated 1,178,400 housing units were authorized by building permits in 2015. This is 12.0% above the 2014 figure of 1,052,100. 

 

Privately-owned housing starts in December were at a seasonally adjusted annual rate of 1,149,000. This is 2.5% below the revised November estimate of 1,179,000, but is 6.4% above the December 2014 rate of 1,080,000. Single-family housing starts in December were at a rate of 768,000; this is 3.3% below the revised November figure of 794,000. The December rate for units in buildings with five units or more was 365,000. An estimated 1,111,200 housing units were started in 2015. This is 10.8% above the 2014 figure of 1,003,300.

 

Thursday was marked by Unemployment Claims and Philly Fed Manufacturing Index figures. In the week ending January 16, the advance figure for seasonally adjusted initial claims was 293,000, an increase of 10,000 from the previous week's revised level. Analysts were anticipating decrease to 279,000. The previous week's level was revised down by 1,000 from 284,000 to 283,000. The 4-week moving average was 285,000, an increase of 6,500 from the previous week's revised average. The previous week's average was revised down by 250 from 278,750 to 278,500. 

 

Philly Fed diffusion index for current activity increased from a revised reading of -10.2 in December to -3.5 and has now been negative for five consecutive months. Smaller increase to -5.8 was anticipated. The index for current new orders remained negative but increased 10 points, to -1.4.Firms reported an increase in shipments to begin the new year: The shipments index increased 12 points, its first positive reading in four months. Firms reported continued declines in inventories.

 

Friday brought Existing Home Sales figures. Total existing-home sales, which are completed transactions that include single-family homes, townhomes, condominiums and co-ops, ascended 14.7 percent to a seasonally adjusted annual rate of 5.46 million in December from 4.76 million in November. Analysts were predicting rate of 5.21 million. After last month's turnaround (the largest monthly increase ever recorded), sales are now 7.7 percent above a year ago.

 

This week markets will be looking at:

 

CB Consumer Confidence (Tuesday 16:00)

New Home Sales (Wednesday 15:00)

Federal Funds Rate/FOMC Statement (Wednesday 20:00)

Durable Goods Orders (Thursday 14:30)

Unemployment Claims (Thursday 14:30)

Advance GDP (Friday 14:30)

Chicago PMI (Friday 15:15)

Revised UoM Consumer Sentiment (Friday 16:00)