Across the U.S., confidence from homebuilders climbed in August to their highest levels in almost a decade. The sentiment rose to 61, according to the National Accusation of Home Builders/Wells Fargo.
A strong job market and historically low mortgage rates will probably keep boosting demand for residential real estate, ensuring home building will contribute to economic growth. Gains in construction will be needed to help make up for any slowdown in manufacturing as factories contend with a strong dollar and bloated inventories.
Homebuilders confidence climbed up in three regions, with only the Northeast region of the U.S. seeing a setback. With the confidence rise, the manufacturing industry however, did not see that. In New York, which accounts for 3% of the U.S. manufacturing total, saw a slowdown in production in August.
However, these two numbers show little to no correlation from New York state. John Ryding and Conrad DeQuadros of RDQ Economics in New York say that they are putting the report in a category of “far more noise than signal” and urge those in both industries to just be mindful.