News in end use

The University of Michigan today released its Preliminary Consumer Sentiment Index for July. The Index of Consumer Sentiment increased to a reading of 51.0 in July, up from its 50.0 reading in June. This is a month-over-month increase of 2.2%.

Statistics Canada reported today that investment in building construction edged 0.2% lower in May to $20.6 billion. The downward movement is the result of many of Ontario’s unionized construction workers being on strike during the month. Excluding Ontario, investment increased 1.1% at the national level.

The National Association of Home Builders/Westlake Royal Remodeling Market Index (RMI) was released today. The RMI posted a reading of 77 in Q2 of 2022, declining 10 points from Q2 of 2021. This is the largest year-over-year decrease since the survey was redesigned in Q1 of 2020.

The Bureau of Labor Statistics (BLS) reported today (7-14-22) that the Producer Price Index (PPI) for final demand, seasonally adjusted, increased 1.1% in June. On an unadjusted basis, final demand prices moved up 11.3% for the 12 months ending in June.

Freddie Mac has released its Primary Mortgage Market Survey (PMMS) for the week ending July 14, 2022. The PMMS reports that the 30-year fixed-rate mortgage averaged 5.51% with an average 0.8 point, up from last week when it averaged 5.30%. A year ago, at this time, the 30-year FRM averaged 2.88%.

The U.S. Department of Labor is reporting that an additional 244,000 Americans (seasonally adjusted) made their initial filing for unemployment benefits during the week ending on Saturday, July 9, 2022. This is an increase of 9,000 from the previous week’s unrevised level of 235,000.

The Associated Builders and Contractors reported on Tuesday that according to the latest member survey, conducted between June 21 and July 5, its Construction Backlog Indicator fell .01 months in June and now stands at 8.9 months. Year-over-year, the reading is up 0.4 months.

According to data from the Mortgage Bankers Association’s Weekly Mortgage Application Survey, for the week ending July 8, 2022, the Market Composite Index (a measure of mortgage loan application volume) decreased 1.7% on a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index decreased 13.0% compared with the previous week.

The U.S. Bureau of Labor Statistics reported on Wednesday that the Consumer Price Index for All Urban Consumers (CPI-U) increased 1.3% in June, on a seasonally adjusted basis. Over the past 12 months, the all-item index has increased 9.1% before seasonal adjustment.

The MCAI declined 0.3% to a reading of 119.6 in June. The MBA notes that a decline in the MCAI indicates that lending standards are tightening, while increases in the index are indicative of loosening credit. The index was benchmarked to 100 in March 2012.