|
|
|
|
|
|
Weekly Market Insight
|
|
|
|
|
|
|
|
|
CPI, PPI & Non-residential Construction Costs
% Change Year/Year
|
August 25, 2008
|
|
|
|
|
|
|
|
|
Construction costs are off to the races once again due to the summer spike in the prices of oil and some commodities that are inputs to the manufacture of construction materials. Both the Consumer Price Index and the Producer Price Index for Finished Goods hit multi-year highs on a year-ago basis in July. But the recent decline in oil and commodities prices and the strengthening U.S. dollar, both related to slower global economic growth, suggest that inflation may cool in the near term. This should allow the Federal Reserve to keep interest rates low awhile longer.
Source: U.S. Bureau of Labor Statistics, Grubb & Ellis
|
|
|
|
|
|
|
|
Robert Bach, Senior Vice President, Chief Economist, has 30 years of professional
experience in real estate market research, consulting and city planning. His commentary
on the real estate markets is provided here on a weekly basis.
Need more information? Contact:
Robert Bach
Senior Vice President, Chief Economist
312.698.6754
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|