The headline number released last week for total housing starts in December jumped by 11.3% to a seasonally adjusted (SA) annual rate of 1.226 million. These numbers, released by the Commerce Department, are based on absolute nonsense. They come from the statistically manipulated impression of the trend average over 10 years, using the first release of preliminary data for the current data point.
Two Cheers for Wall Street Journal for Getting Housing Starts Report Partly Right
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David Stockman’s Contra Corner isn’t your typical financial tipsheet. Instead it’s an ongoing dialogue about what’s really happening in the markets… the economy… and governments… so you can understand the world around you and make better decisions for yourself.
David believes the world -- certainly the United States -- is at a great inflection point in human history. The massive credit inflation of the last three decades has reached its apogee and is now going to splatter spectacularly.
This will have lasting ramifications on how governments tax and regulate you… the type of work you and your family members will have available and what you get paid… the value of your nest egg… and all other areas comprising your quality of life.