Definition
The number of new homes that began construction in a month, counted when digging for the foundation begins.
The story
A builder doesn't break ground unless they think buyers can afford the finished house. When mortgage rates climb, buyers back off, and builders start fewer homes. That's why housing starts are one of the first places higher rates show up.
Why markets watch it
It shows how interest rates are hitting one of the most rate-sensitive parts of the economy.
Connects to
We explain why it moves markets. What you do with it is your call. Commentary and education only. Not financial advice. All terms