Canada's housing starts to come in at around 200k for November

Housing starts in Canada are expected to come in at around 200k for November, in line with recent prints. Coincident indicators for Canadian housing construction continue to point to a decent pace of gains: building permits registered strong 18.3k monthly increases in both August and September and were even stronger in June and July. All of these permit issuance numbers are more than adequate to sustain steady gains in construction. 

The risk and the major caveat here is that the absolute level of construction represented by the seasonally adjusted monthly housing prints is low as the amount of new residential building commenced during the cold late fall and winter months in Canada is substantially less than what is normal during the April-August period. There is a tendency for outlier housing starts prints both to the upside and downside in November-March, and these outlier numbers don't mean very much as they reflect very little actual construction.