Part 3/9:
Historical data illustrates a concerning correlation between construction activity and durable goods orders. When housing markets decline, durable goods orders typically follow suit—a pattern that has persisted through economic fluctuations dating back to the late 1990s and early 2000s. With housing starts now in decline, the potential for a contraction in durable goods orders looms large. As households face rising credit card debt amid persistent inflation, the likelihood of doom for consumer spending increases.