Canadian housing starts likely to have rebounded in August

Canadian housing starts data for the month of August is set to release tomorrow. According to a TD Economics research report, housing starts are expected to have recovered to a 230k pace in the month, owing to a partial rebound in multi-unit and single family construction.

Weather conditions in August were more favourable for construction after heat waves in the prior month, and recent signs of life in the resale market along with lower rates should also help underpin development.

“Annualized starts of 230k in August would push the six-month trend back to 220k – the highest since June 2018 – and help to support residential construction over the coming quarters”, added TD Economics.