Even with the government shutdown delaying some reports, key updates arrived on inflation and housing.

Home builder sentiment rose after months of stagnation, while the Fed’s Beige Book offers key insights policymakers may rely on as the shutdown delays other critical economic data.

Forecasts for home prices remain favorable, while the Fed minutes point to internal division over the next steps for interest rates.

Private sector job losses in September take on added importance with the official government report delayed by the shutdown. In housing, contract signings rose in August as lower rates sparked demand.

The Fed’s go-to inflation gauge came in as expected, jobless claims highlight ongoing hurdles for workers, and home sales are beginning to reflect the recent dip in mortgage rates.

The Fed made its first rate cut of the year amid rising concerns about the job market. Meanwhile, homebuilders remain cautiously optimistic about the future, even as new construction activity slowed.

There’s growing evidence that the job market is cooling, while inflation holds near expectations and home price forecasts remain optimistic.

Jobs week revealed more signs of a cooling labor market, strengthening the case for a Fed rate cut at its upcoming meeting on September 17.

The latest inflation data leaves the door open for a rate cut at the Fed’s upcoming meeting. Meanwhile, signed contracts for new and existing homes dipped slightly from June to July. Home prices are still up compared to last year, though growth is slowing.

Fed Chair Jerome Powell signaled that a rate cut could be on the horizon. In housing news, both existing home sales and housing starts exceeded expectations, though builder sentiment remains low amid ongoing market uncertainty.