Prices for Lumber, Steel Mill Products Fall For Second Consecutive Month
Building materials prices fell 0.2% in October after posting a 0.5% decline in September, while the price index of services inputs to residential construction dropped 0.7% in October, marking the seventh consecutive monthly decline this year, NAHB Eye on Housing reports. Though 4.4% higher than they were a year ago, softwood lumber prices fell 1.7% in October and are down 41.3% from their March levels.
Steel mill products prices declined 6.6% in October and are down 21.6% since May 2022, leaving the index at its lowest level since May 2021. On the contrary, the PPI for ready-mix concrete rose 0.4% in October, but the pace of increases has slowed for the past three months.
The prices of building materials decreased 0.2% in October (not seasonally adjusted) following a 0.5% decline in September according to the latest Producer Price Index (PPI) report. The index has decreased four of five months for the first time since 2015. The PPI for goods inputs to residential construction, including energy, was led 0.2% higher by prices of diesel fuel (+9.5%) and unleaded gasoline (+5.7%).