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Starts well-placed to recover as country reopens

In April, single-family housing starts saw their largest month-on-month drop since records began in 1970. However, we are relatively optimistic that starts will recover as more builders are able to return to work. Admittedly, homebuilder confidence is still close to eight-year lows. But balance indicators overstate large swings in sentiment, and in recent weeks builders have reported a recovery in demand.

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