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.
Wood Markets News
Consumer Price Index Increases 1.0% Month-Over-Month and 8.6% Year-Over-Year in May 2022
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.
UK Residential Homebuilding Being Impacted by Inflation and Declining Consumer Confidence
In May, the UK experienced the slowest rise in residential homebuilding in the past two years, the result of declining consumer confidence and skyrocketing inflation. The construction purchasing managers’ index, compiled by CIPS and S&P Global, found that housebuilding activity fell to a figure of 50.7 in May, from 53.8 in April.
Canadian Employment Increases, While Unemployment Sets New Record Low in May 2022
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.
University of Michigan Preliminary Consumer Sentiment Index Released for June 2022
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).
ABIMCI States the Permanent Injunction Against PFS-TECO Does Not Cover Product Certified on or Before May 31, 2022
The permanent injunction agreed to by the US Structural Plywood Integrity Coalition and PFS-TECO and signed by a US federal district judge in Florida on May 23, 2022, did not prohibit, limit, or restrict the sale and/or use of plywood panels produced and stamped with the PFS-TECO PS-1 certification until after May 31, 2022.
New South Wales Announces Renewal of All North Coast Wood Supply Agreements, Extending Native Forest Logging Until 2028
Australia’s New South Wales Agriculture Minister Dugland Saunders has announced that all North Coast Wood Supply Agreements that were to expire next year have been renewed and extended until 2028. The renewal, Mr. Saunders says, was done to provide “certainty” for the industry to “invest in their businesses.”
Mortgage Credit Availability Declined for the Third Consecutive Month in May 2022
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.
Typical U.S. Monthly Rent Surpasses $2,000 in May, Setting New All-Time High
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%.
Mortgage Rates Resume Upward Climb in the Week Ending June 9, 2022
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%.