Wholesale prices for building materials used in residential construction climbed 4.4% year-over-year in May, the strongest yearly increase since January 2023, according to the National Association of Home Builders’ analysis of U.S. Bureau of Labor Statistics Producer Price Index data. On a monthly basis, building material prices, excluding energy, rose 0.7%.
The price index for inputs to new residential construction was up 1.3% in May and 6.9% above its level a year ago. Goods used in new residential construction climbed 2.1% during the month, the largest single-month increase since March 2022.
Energy input prices surged 17.2% in May alone and were 62.8% higher than a year earlier. Diesel fuel prices were up 105.9% year-over-year.
Prices for transportation and warehousing services rose 17.3% year-over-year, while overall service inputs to residential construction were 4.7% above their year-ago level.
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