Construction & Building Materials

April 1, 2024

Second Quarter 2024 | Segment Focus: Building Materials

Executive Industry Trends

  • During Q2 2024, real GDP expanded, marking the eighth straight quarterly increase following a downturn in the 1st half of 2022. Construction GDP also rose this quarter, growing at 1.7% compared to 0.7% for the broader economy.

  • The residential housing market continues to recover from a downturn during the first half of 2023. Residential construction has seen a Q-o-Q increase of 3.6% in value put in place on a seasonally adjusted annual rate basis.

  • The median sales price of houses sold has continued to stabilize following sharp increases in 2021 and 2022, with Q2 2024’s value of $412,300 down 6.85% from late 2022 highs.

  • Elevated rates and commodity input prices have proved to be strong headwinds for industry activities; however, expected policy rate cuts from the Federal Reserve could alleviate margin pressures from borrowing costs.


IN THIS ISSUE

Construction Overview

  • GDP

  • Unemployment

  • Value Put-In-Place

  • 10-Year Yield and Real Broad Dollar Index

Sector Focus

  • Building Materials 

  • Government Consumption and Investment

  • Industrial Production Index and Commodity Input Price Index

Sector Roundup

  • Non-Residential Construction 

  • Roads, Highways, and Bridges 

  • Residential Construction 

Bellwether Stocks and Industry Participants

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