News in end use

In the latest report from the Washington, D.C.-based nonprofit Home Builders Institute (HBI), the number of construction workers needed to keep up with the current building sector demand is approximately 740,000 per year. The HBI estimates the industry will need more than 61,000 net hires a month to fill vacant positions.

The U.S. Bureau of Labor Statistics reported on Friday that the Consumer Price Index for All Urban Consumers increased 1.0% in May on a seasonally adjusted basis. This follows increases of 0.3% in April, 1.2% in March, and 0.8% in February. Over the past 12 months, the all-item index has increased 8.6% before seasonal adjustment.

Statistics Canada reported today that employment rose by 40,000 (+0.2%) in May, after pausing in April. Since May 2021, when the labor market was impacted by the third wave of the pandemic, total employment has increased by 1.1 million (+5.7%). And as of May 2022, employment was 497,000 (+2.6%) above its pre-pandemic level.

On Friday, the University of Michigan released its Preliminary Consumer Sentiment Index for June. The Index of Consumer Sentiment dropped to a reading of 50.2 in June, down from May’s reading of 58.4, This is a month-over-month decrease of -14.0% and down -41.3% year-over-year (85.5 in June 2021).

According to the Mortgage Bankers Association’s (MBA) Mortgage Credit Availability Index (MCAI) report, which analyzes data from the ICE Mortgage Technology, Mortgage credit availability declined in May 2022. The MCAI declined -0.9% to a reading of 120.0.

Redfin, the Seattle-based, technology-powered real estate brokerage firm, is reporting that in May, for the first time ever, the median monthly asking rent in the U.S. surpassed $2,000. This is a year-over-year increase of 15%.

Freddie Mac has released its Primary Mortgage Market Survey (PMMS) for the week ending June 9, 2022. The PMMS reports that the 30-year fixed-rate mortgage averaged 5.23% with an average 0.9 point, up from last week when it averaged 5.09%.

The U.S. Department of Labor is reporting that an additional 229,000 Americans (seasonally adjusted) made their initial filing for unemployment benefits during the week ending on Saturday, June 4, 2022. This is increase of 27,000 from the previous week’s unrevised level.

According to data from the Mortgage Bankers Association’s Weekly Mortgage Application Survey, for the week ending June 3, 2022, the Market Composite Index (a measure of mortgage loan application volume) declined -6.5% on a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index declined -17.0% compared with the previous week.

According to the National Association of Home Builders’ Home Building Geography Index for Q1 of 2022, single-family residential home building slowed in the suburbs, with most other regional areas following suit. This decrease follows the aftermath of the pandemic and home buyers’ preferences to live in the suburbs easing.