Timberlink’s Tarpeena sawmill, located in South Australia, is undergoing a multi-million-dollar expansion. The project will include an upgrade the existing sawmill and the construction of Australia’s first cross laminated timber (CLT) and glue laminated timber (GLT) manufacturing plant, which will be co-located on the sawmill’s site.
Wood Markets News
Canadian Investment in Building Construction Up in December and for the Year
Statistics Canada (StatsCan) reported on Thursday (2-10-22) that investment in building construction in December increased by 1.9% to 18.4 billion (CAD). Gains were recorded in both the residential and non-residential sectors. On a constant dollar basis (2012=100), investment in building construction grew 1.2% to $11.5 billion.
Mortgage Payment on a Typical Home Increased 25% Year-Over-Year
According to the latest report (2-10-22) from Redfin, the Seattle-based, technology-powered real estate brokerage, the estimated monthly mortgage payment for a typical home for sale rose 25% year-over-year, or $388, to a record high of $1,931. The figures are based on the all-time high median asking price of $376,000, recorded during the four weeks ending February 6th, and an average 30-year mortgage rate of 3.69%.
University of Michigan Preliminary Consumer Sentiment Index Declined for February 2022
The University of Michigan today (Friday 2-11-22) released its preliminary Consumer Sentiment Index (CSI) for February. The Index of Consumer Sentiment declined to a reading of 61.7 in February, down from 67.2 in January. The decline is a month-over-month decrease of -8.2% and down -19.7% year-over-year (76.8 in February 2021).
Western Forest Products Confirms Chemainus Sawmill Production Has Been Curtailed
Western Forest Products (WFP) has confirmed that their Chemainus Sawmill is under a production curtailment. When at full production, the mill operates with two full shifts, and neither shift is currently working. No timetable as to when the mill might resume operations has been provided at this time.
Canadian Pacific Railway Employees, Represented by Teamsters Canada Rail Conference, Take Strike Vote
If logistics problems aren’t already causing enough headaches and supply chain disruptions, word came this morning (2-10-22) that the Teamsters Canada Rail Conference, representing members working for the Canadian Pacific Railway, is in the process of conducting a strike vote among its more than 3,000 Locomotive Engineers, Conductors, Trainpersons and Yardperson’s.
Consumer Price Index Increases 0.6% in January 2022, Rising 7.5% Year-Over-Year
The U.S. Bureau of Labor Statistics (BLS) reported on Thursday (2-10-22) that the Consumer Price Index for All Urban Consumers (CPI-U) increased 0.6% in January on a seasonally adjusted annual basis. Over the past 12-months, the all-item index has increased 7.5% before seasonal adjustment—the largest 12-month increase since the period ending February 1982.
Mortgage Rates Accelerate in Week Ending February 10, 2022
Freddie Mac has released its Primary Mortgage Market Survey (PMMS) for the week ending February 10, 2022. The PMMS reports that the 30-year fixed-rate mortgage averaged 3.69% with an average 0.8 point, up from last week when it averaged 3.55%. A year ago, at this time, the 30-year FRM averaged 2.73%.
Weekly Jobless Claims Decreased in the Week Ending February 5, 2022—The Third Consecutive Weekly Drop
The U.S. Department of Labor is reporting that an additional 223,000 Americans made their initial filing for unemployment benefits during the week ending on Saturday, February 5, 2022. This is a decrease of 16,000 from the previous week’s revised level. The 4-week moving average was 253,250.
Mortgage Delinquency Rate Declines in Q4 and Year-Over-Year in 2021
The Mortgage Bankers Associations (MBA) released today (2-10-22) the results of their National Delinquency Survey (NDS) for Q4 2021. According to the NDS, the delinquency rate for mortgage loans on one-to-four-unit residential properties decreased to a seasonally adjusted rate of 4.65% of all loans outstanding at the end of December.