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Canadian housing starts rise more-than-expected

Published 03/08/2012, 08:17 AM
USD/CAD
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Investing.com - Canadian housing starts rose more-than-expected in February, official data showed on Thursday.

In a report, the Canada Mortgage and Housing Corporation said that the seasonally adjusted annual rate of housing starts rose to 201,000 units in February from 198,000 units in January.

Analysts had expected Canadian housing starts to rise to 199,000 units in February.

Factors contributing to the increase in housing starts include a rise in multiple housing starts in Québec, and to a lesser extent, in British Columbia.

Commenting on the report, deputy chief economist at CMHC’s Market Analysis Centre Mathieu Laberge said, “Increases in these provinces were partially offset by decreases in multiple starts in Ontario and Atlantic Canada.”

“Multiple housing starts in Québec had fallen nearly 50 per cent in January, so February’s rise can be seen as a return to a more normal rate of construction,” he added.

Following the release of the data, the Canadian dollar remained higher against its U.S. counterpart, with USD/CAD shedding 0.21% to trade at 0.9954.

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