Stock Market Update

The stock market is on track for a mixed opening, with the Dow futures trading 91 points above fair value (+0.2%), while the S&P 500 futures trade six points below fair value (-0.1%), and the Nasdaq futures trade 34 points below fair value (-0.2%).

A flattish opening would further yesterday's noncommittal disposition as the market anxiously awaits Fed Chair Powell's speech on Friday. The market will hear from Fed Vice Chair Michelle Bowman at 2:10 ET today.

Housing starts increased 5.2% month-over-month in July to a seasonally adjusted annual rate of 1.428 million units (Briefing.com consensus: 1.311 million), with single-unit starts up 2.8% and multi-unit starts up 9.9%. Building permits decreased 2.8% month-over-month to a seasonally adjusted annual rate of 1.354 million units (Briefing.com consensus: 1.390 million), with single-unit permits up 0.5% and multi-unit permits down 8.2%.

The key takeaway from the report is that there wasn't much strength in single-unit starts or permits, which is relatively disappointing in the context of a housing market that needs more affordable, single-family homes for sale. In fact, single-unit starts were down in all regions except the South (+13.2%).