Housing starts retreat again

New U.S. home construction retreated for a fifth month in January to the lowest level since June 2020 as elevated mortgage rates continue to keep a lid on housing demand.

Residential starts decreased 4.5% last month to a 1.31 million annualized rate, marking the longest stretch of declines since 2009, according to government data released Thursday. Single-family home building fell to an annualized 841,000 rate.

Applications to build, a proxy for future construction, were little changed at an annualized 1.34 million units. Permits for construction of one-family homes declined 1.8%.

The median estimate in a Bloomberg survey of economists called for a 1.36 million pace of total residential starts.

The housing sector has so far borne the brunt of the Federal Reserve’s barrage of interest-rate hikes, which have sent mortgage rates higher and sapped demand for homebuying.

Even though home builder sentiment rose again in February, the outlook is still shaky as the heightened prospect of tighter Fed policy presents further upside risk to borrowing costs.

Multifamily starts fell and permits for new construction rose.

Clearwater Paper reports net loss

Spokane-based Clearwater Paper Co. reported a fourth-quarter net loss with release of its financial results this week.

For the quarter that ended Dec. 31, the company posted a net loss of $6 million, or 34 cents per share. The loss came despite the company reporting $527 million in sales for the quarter, which was up 8% over the same quarter in 2021.

“We had a very good year, with strong results in paperboard and improvements in tissue,” said Arsen Kitch, Clearwater’s president and CEO.

“During the fourth quarter, we were impacted by operation and weather-related issues, which have subsequently been resolved.”

For the year, the company reported $2.1 billion in sales, which was up 17% from over 2021.

Kitch also noted the company had a net debt reduction of $108 million in 2022, and $377 million since 2020.

Motorcycle show set for March

The 18th annual Inland Northwest Motorcycle Show and Sale will be next month at the Spokane County Fair & Expo Center.

The show, which runs March 10-12, will feature hundreds of motorcycles and accessories. It will include discounts, an indoor swap meet, a poker run and a beard-and-mustache competition.

Parking at the show is free and admission for adults is $12. Children ages 12 and under are free.

Show hours will be 3 p.m.-8 p.m. March 10, 10 a.m.-7 p.m. March 11 and 10 a.m.-4 p.m. March 12.

For more information, go to www.spokanemotorcycleshow.comFrom staff and wire reports