The latest data from the Mortgage Bankers Association’s Purchase Applications Payment Index (PAPI) reveals that the median monthly payment for a new mortgage in April rose 8.8% to $1,889, up from March when it was $1,736. The national PAPI increased 7.8% to a reading of 162.7 in April, up from March’s reading of 150.9.
Wood Markets News
Maine’s Plan For Wood-Fired Power Plants Draws Both Praise and Doubts
In April, Maine Gov. Janet Mills signed into law legislation that establishes a program to commission projects that will burn wood to create electricity and also capture the heat produced for use on-site—heat that would go to waste in a conventional power plant. Some climate activists are cynical, saying questions remain as to whether the program will cut carbon emissions as intended.
binderholz Group GmbH Solid Wood Plant II Preparing to Start Production in Late 2022
binderholz Group GmbH, a leading European company offering solid wood products and innovative building solutions, announced in August 2021 that it had commenced construction on binderholz solid wood panel plant II, which is set to be located in St. Georgen bei Salzburg, Austria.
Brazilian Exports of Wood-Based Products Increased 22.2% Year-Over-Year in April 2022
According to the International Tropical Timber Organization, Brazilian exports of wood-based products (except pulp and paper) in April 2022 increased 22% in value compared to April 2021, from US$380.5 million to US$465.3 million. Pine sawnwood exports increased 29% in value, growing from US$59.7 million in April 2021 to US$77.2 million in April 2022.
U.S. Nonfarm Payroll Increases by 390,000 in May; Unemployment Holds Steady at 3.6%
The U.S. Bureau of Labor Statistics (BLS) reported today (6-3-22) that total nonfarm payroll employment increased by 390,000 in May. This follows April’s upward-revised figure of 436,000, (+8,000) and March’s downward-revised figure of 398,000 (-30,000). With these revisions, employment in March and April combined is -22,000 lower than previously reported.
Total Value of Canadian Building Permits Declines Slightly in April 2022
Statistics Canada reported today that the total value of building permits in Canada declined in -0.6% in April to $11.7 billion (CAD). The decline in residential permits of -3.3% were offset by gains in the non-residential sector of 5.0%. Single-family home construction intentions declined -2.0%. Multi-family building permits pulled back -4.4%.
Apartment Absorption Increased in Q4 of 2021, but Completions of New Units Declined
According to data from the U.S. Census Bureau, continued improvement in the multifamily sector in Q4 of 2021 was the direct result of strong demand and low vacancy rates. Conversely, the decline in the number of apartment and condominium completions in Q4 of 2021 seemed to reflect the ongoing challenges within the supply chain.
Mortgage Rates Little Changed in the Week Ending June 2, 2022
Freddie Mac has released its Primary Mortgage Market Survey (PMMS) for the week ending June 2, 2022. The PMMS reports that the 30-year fixed-rate mortgage averaged 5.09% with an average 0.8 point, down from last week when it averaged 5.10%. A year ago, at this time, the 30-year FRM averaged 2.99%.
ADP Reports Private Sector Employment Gains in May Were Closer to Pre-Pandemic Levels
According to the March ADP® National Employment Report™ released today (6-2-22), nonfarm private sector employment increased by 128,000 jobs from April to May. The ADP National Employment Report is produced by the ADP Research Institute® in collaboration with Moody’s Analytics.
Job Cuts Down Month-Over-Month and Year-Over-Year in May 2022
According to the latest Job Cut Report from Challenger, Gray & Christmas, U.S. based employers announced 20,712 job cuts in May. This is a -14.7% decrease from 24,286 announced in April. Year-over-year, it is -15.8% lower from the 24,586 cuts announced in May of 2021.