Economic Indicators
...d workers and idled plant and equipment that could be used to produce goods and services if the demand was there. (http://www.mam.econoday.com) Housing Starts Housing starts measure initial construction of residential units (single-family and multi-family) each month. A rising (falling) trend points to gains (declines) in demand for furniture, home furnishings and appliances. Investors can gain specific investment ideas by tracking economic data such as housing starts. (http://www.neatideas.com) Housing starts rate changes tell us a lot about the demand for homes and the outlook for the construction industry. With every home that is built, construction employment goes up. Upon completion of the home, it generates revenue for the builder. Then the homeowner must spend money furnishing their home with furniture and appliances. This puts money back out in the economy. (http://www.mam.econoday.com) Total New Privately Owned Housing Units Started SAAR Thousand Units. Jan2005 Feb2005 Mar2005 Apr2005 May2005 Jun2005 Value 1,182 1,946 1,433 1,227 1,556 1,409 Standard Deviation 21.6 38.1 30. 27.2 36.6 35. Correlation Coefficient 0.95 0.95 0.95 0.95 0.95 0.95 Updated Monday, January 10, 2005 Gross Domestic Product (GDP) Total value of all goods and services produced within that territory during a specified period. GDP differs from gross national product in excluding inter-country income transfers, in effect attributing to a territory the product generated within it rather than the incomes received in it. (http://www.en.wikipedia.org) GDP = consumption + investment + exports – imports The GDP is calculated by the Bureau of Economic Analysis (BEA). There are two different calculations of GDP. Current currency exchange rate, which is calculated by exchange rates prevailing on international currency markets. The second, purchasing power parity exchange rate which, is calculated by purch...