It should be noted that Building Permits indicator is a second tier indicator and usually markets do not react much, if at all, at its release. However, it is important in the sense that one could not start a construction project without a building permit to be released, and therefore is the first sign in showing a pick up for the construction sector, or a slowing down of the same sector. And this is important because construction sector has a lot to say in the overall shape of an economy, as the gdp is highly influenced by it.
Building Permits indicator shows the annualized number of new residential building permits issued during the previous month.
Looking at our six months previous data and there is more like a consolidation that anything, so not an important conclusion for the construction sector to be drawn from there.
The most important things to take into consideration when looking at the Building Permits indicator are the following:
release date: monthly, about 17 days after the month ends;
- release time: 12:30 GMT, during North American trading session;
- second tier data;
- no volatility surrounding the release.