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New Housing Starts vs CPI

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Pro Tip

Housing starts are viewed as a leading indicator of the economy.

What does Housing Starts tell us?

“Housing starts measure new construction of privately owned housing units and are considered an important leading indicator on the economy. Housing starts highlight American households’ wealth but can also show their sensitivity to changes in interest rates.” – The Street

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What does the Consumer Price Index (CPI) tell us?

“The CPI measures the rate of inflation, which is one of the greatest threats to a healthy economy. Inflation eats away at your standard of living if your income doesn’t keep pace with rising pricesβ€”your cost of living increases over time. A high inflation rate can hurt the economy.” – The Balance Money
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