Resilient U.S. Housing Starts Ease Recession Fears for S&P 500

U.S. housing starts declined just 2.8% in April to 1.465 million, far better than the 6.3% drop economists expected, while building permits jumped 5.8%. The latest data extend a run of modestly encouraging housing figures that began with the NAHB index rebounding three points to 37 in May and continued with pending home sales rising 1.4% month-over-month in April. Builders remain cautious, with 61% still offering incentives and the index stuck below 50 for the 25th straight month, yet the better-than-feared starts and permit surge suggest the sector is holding up despite elevated mortgage rates tied to geopolitical tensions. The combination supplies mild positive sentiment for housing-sensitive areas of the S&P 500.