A steep decline in the construction of multi-family homes weighed down U.S. housing starts, which fell to a seven-month low in October. However, a surge in building permits suggested the housing market remained on solid ground.
October marked the seventh straight month that starts remained above 1 million units, the longest stretch since 2007. Building permits increased 4.1 percent to a 1.15 million-unit rate.
The Commerce Department reported that groundbreaking dropped 11 percent to a seasonally adjusted annual pace of 1.06 million units last month, the lowest level since March.