Housing permits and starts: more evidence for a powerful economic liftoff in 2021

This morning (Nov. 19) yet another leading indicator showed that the economy is revving to move ahead strongly, and is only being held back by the pandemic (and the horrible “response” by Trump).

Total (blue in the graph below) and single family (red) housing permits both made yet another 10 year + highs, while housing starts (green), which typically follow a month or two later, also improved. Here’s the longer-term look:

Focusing on the last 18 months shows that only starts have failed to make a new high:

This adds to the evidence that a competent, focused Federal response to the pandemic by the incoming Biden Administration next year, plus the availability of vaccines by about summertime should result in a very strong economy at that point.