Housing starts...

...in the U.S. increased more than forecast in May, led by a jump in the West as other parts of the country languished.

Work began on 560,000 houses at an annual pace, up 3.5 percent from the prior month and exceeding the 545,000 median forecast of economists surveyed by Bloomberg News, figures from the Commerce Department showed today in Washington. Building permits, a sign of future construction, also increased.