November 17, 2022 – Economic News

• November 17, 2022
• realestate
• Announcements, Business & Markets, Fed, Interest Rates, Politics & Economy, Rates, Real Estate Finance, Recession, World News, Your Real Estate Life

Domestic Flavor:

Taking it to the House: October Building Permits were higher than expected, 1.526M vs. est. of 1.512M. Housing Starts also beat to the upside, 1.425M vs. est. of 1.410M. But both were lower than the annualized pace of September. On the real housing market side of things, SFR Building Permits dropped for the 8th straight month and SFR Housing Starts fell by -6.1% on a MOM basis.

Jobs, Jobs, Jobs: Initial Weekly Jobless Claims were 222K vs. est. of 225K. The more closely watched 4 week moving average increased from 219K to 221K. Continuing Claims were higher than expected, 1.507M vs. est. of 1.500M

Rosie the Riveter: The regional Philly Fed Manufacturing Survey tanked in November. Dropping to -19.4 which was three times worse than market expectations of -6.2

The Talking Fed: St. Louis Fed President James Bullard made headlines when he pointed out that based upon the Fed’s preferred “Taylor Rule” for monetary policy, if applied correctly, it would mean that the Fed Fund rate would need to be in the 5% to 7% range. He pointed out that “the policy rate is not yet in a zone that may be considered sufficiently restrictive.” He also said that “Thus far, the change in the monetary policy stance appears to have had only limited effects on observed inflation, but market pricing suggests disinflation is expected in 2023.”