Statistics Canada (StatsCan) reported today (10-1-21) the real gross domestic product (GDP) in Canada edged lower -0.1% in July. This follows a 0.6% increase in June. Total economic activity in July was approximately -2% below the pre-pandemic level of February 2020.
Wood Markets News
University of Michigan Final Consumer Sentiment Index Increases for September 2021
The University of Michigan today (Friday 10-1-21), released its Final Consumer Sentiment Index (CSI) for September. The Index of Consumer Sentiment increased to a reading of 72.8 in September, up from 70.3 in August — a month-over-month increase +3.6% but -9.5% decrease year-over-year (80.4 in September 2020).
Personal Income and Outlay Both Increased in August 2021
The U.S. Bureau of Economic Analysis (BEA) reported on Friday (10-1-21) that according to their estimates, personal income (PI) increased $35.5 billion, or 0.2%, in August. Disposable personal income (DPI) increased $18.9 billion, or 0.1%, in August.
EACOM Timber to Invest $10 million to Upgrade Housing at Gogama Mill
Recognizing that workers in remote areas live a large portion of the year on the sawmill’s site, EACOM Timber company has announced its intention to invest $10 million (CAD) to replace the Gogama sawmill’s aging housing facilities.
Mortgage Rates Climb Above 3% in the Week Ending September 30, 2021
Freddie Mac has released its Primary Mortgage Market Survey (PMMS) for the week ending September 30, 2021. The PMMS reports that 30-year fixed-rate mortgage averaged 3.01% with an average 0.7 point, up from last week when it averaged 2.88%. A year ago, at this time, the 30-year FRM averaged 2.88%.
Lumber Shortages Threaten to Derail Australia’s Home Building Boom
Australia is facing a lumber shortage, similar to the one that negatively impacted home building in North American earlier this year. According to a report from the Master Builders Australia and Australian Forest Products Association (AFPA), the Land Down Under could be facing a deficit of 250,000 wooden house frame packages over the next 15 years if efforts are not made to plant more trees.
Home Asking Prices Increase to an All-Time High
Redfin, the Seattle-based, technology-powered real estate brokerage, reported on Wednesday (9-29-21) that the asking prices of homes listed for sale increased to an all-time high of 12%. On the other hand, pending home sales were just 4% higher year-over-year, the smallest increase since June 2020.
Weekly Jobless Claims Rise in the Week Ending September 25, 2021 — Third Consecutive Increase
The U.S. Department of Labor is reporting that an additional 362,000 Americans made their initial filing for unemployment benefits during the week ending on Saturday, September 25, 2021. This is an increase of 11,000 from the previous week’s unrevised level.
Georgia-Pacific Announces $120 Million in Additions and Improvements at Pineland Lumber Complex
Georgia-Pacific announced today (9-29-21) that their Pineland Lumber Complex in Texas will undergo $120 million in additions and improvements in an effort to modernize and increase the mill’s overall production capabilities. The modifications include a new sawmill which will replace the existing stud mill that was built in the 1960s.
Pending Home Sales Soar 8.1% Month-Over-Month in August
On Wednesday (9-29-21), the National Association of Realtors® (NAR) reported their Pending Homes Sales Index (PHSI) — which is based on signed real estate contracts, not actual closings, for existing single-family homes, condos, and co-ops — increased of 8.1% in August 2021 to a reading of 119.5.