The costs of products utilized in residential development ex-energy climbed 1.6% in February (not seasonally adjusted), in response to the newest Producer Value Index (PPI) report launched by the Bureau of Labor Statistics. Constructing supplies costs elevated 20.4%, year-over-year, and have risen 31.3% since January 2020. Over the previous 5 months, the index has climbed 10.6%.
The worth index of companies inputs to residential development elevated 3.8% in February following a 5.1% improve in January 2021 (revised). The index declined 13.5% between June and November final yr however has elevated 10.3% within the three months since. The index is 14.1% increased than it was a yr prior and 32.6% increased than the January 2020 studying.
Metal mill merchandise costs declined 9.9% in February, the second consecutive lower after will increase every of the prior 15 months. The final time the metal mill merchandise PPI decreased greater than 9 % was December 2008. February is the seventh consecutive month during which value will increase of metal mill merchandise have slowed or decreases have accelerated.
Whereas January and February have been good months for the price of spinoff metal merchandise, the PPI stays 74.4% larger than it was 12 months in the past.
The PPI for ready-mix concrete (RMC) gained 0.8% in February after rising 1.1% in January. The index for RMC has been comparatively unstable since mid-2020 and has climbed 8.2%, year-over-year (YoY). Previous to January 2021, year-over-year value will increase had not exceeded 8.0% since December 2006.
On the regional degree, costs elevated within the Northeast (2.1%), Midwest (0.7%), and South (2.0%) and West (-0.3%).
The PPI for gypsum merchandise declined 1.9% in February, snapping an 11-month streak of will increase throughout which the index climbed 31.4%. Gypsum merchandise costs are up 20.7%, year-over-year.
The PPI for softwood lumber (seasonally adjusted) elevated 2.6% in February following a mixed 28.9% improve over the 2 months prior. Since reaching its most up-to-date trough in September 2021, costs have elevated 79.5%. In response to Random Lengths information, the “mill value” of framing lumber has greater than tripled since late August.
After a 12-month interval throughout which the costs of exterior and inside paint elevated 30.3% and 21.2%, respectively, paint costs held comparatively regular in February. The costs of exterior architectural coatings gained 0.1% and inside architectural coatings PPI rose 0.3%.
Different Constructing Supplies
The chart under reveals the 2022 year-to-date adjustments in different related value indices in addition to the worth actions since January 2020.