Canada Sept building permits +11.5% vs +1.7% expected

• Prior was -7.0% (revised to -6.3%)
• Non-residential permits +18.0% to C$5.2B
• Residential permits +7.5% to C$7.7B

Details:

• Ontario (+25%) leads gains in both residential and non-residential sectors
• Institutional building booming: +85.9% m/m, driven by healthcare facilities
• Gains in the institutional component (+$824.9 million). However, industrial (-$17.6 million) and commercial
  (-$9.9 million) construction intentions edged down.
• Industrial permits remain elevated after major battery plant project in St. Thomas, ON

Overall permits were the second-highest level since the start of the new series in January 2017 but it’s more of a one-off around government spending than anything related to the economy. Ontario’s institutional component received big contributions from construction
for long-term care facilities across the province and a hospital permit in Prince Edward County.

Residential building is holding up on the multi-family side as the pipeline of condos continues to work its way through but single-family has flatlined.

This article was written by Adam Button at www.forexlive.com.