Housing Construction Fell Sharply in October

Construction of new homes fell sharply in October, fresh evidence that the housing industry remains under duress.

The Commerce Department says construction of new homes and apartments sank 11.7 percent last month to a seasonally adjusted annual rate of 519,000 units.

The decline marked the poorest showing since April 2009, when construction dropped to 477,000 units — the lowest level on records dating back to 1959. Construction of new homes and apartments is 77 percent below its peak during the housing boom of 2.27 million units in January 2006.

MARTIN CRUTSINGER, AP Economics Writer WASHINGTON