RISING MATERIALS PRICES, FLAT PRICES FOR FINISHED PROJECTS SQUEEZING HARD-HIT CONSTRUCTION INDUSTRY, ECONOMIST NOTES

Latest Producer Price Index Figures Show Nearly 5 Percent Annual Increase in Prices for Construction Materials While Price Index for Finished Buildings Remained Flat

Construction contractors continue to be squeezed by rising prices for key construction materials and flat prices for what they can charge for finished projects, according to an analysis of October Producer Price Index figures released today by the Associated General Contractors of America.  Prices for materials used in construction jumped by 0.6 percent in October and 4.8 percent over the past 12 months, while the price index for finished buildings remained flat.

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