US construction lending is seeing a slow, steady recovery – just like the rest of the nation’s economy, the Wall Street Journal reported.
The volume of outstanding loans increased 2.1% in the first quarter from the fourth quarter to $214.3 billion, according to Federal Deposit Insurance Corp. data released Wednesday. The increase was the fourth consecutive quarterly gain for construction loans since the measure bottomed out early last year. The FDIC data cover loans for both commercial and residential development. Builders regard the nascent turnaround as a sign that the economic recovery, and specifically the housing rebound, will continue, albeit at a measured pace.
After drifting 1.6 percent, the weekly US Rocky Mountain bar fuel surcharge dropped to $0.54 per short ton making it the biggest mover on the weekly Construction MMI® this week. The weekly US Midwest bar fuel surcharge fell 1.5 percent for the week to settle at $0.53 per mile. The weekly US Gulf Coast bar fuel surcharge saw a 0.5 percent drop this week, closing at $0.51 per mile.
The price of US shredded scrap fell 0.5 percent over the past week to $369.00 per short ton. This was the third week in a row of declining prices. The price of Chinese rebar rose 0.3 percent to CNY 3,190 ($512.22) per metric ton after falling 0.9 percent during the previous week. The Chinese low price of 62% Australian iron ore fines closed at CNY 970.00 ($155.75) per dry metric ton after a flat week. Following a steady week, prices for Chinese H-beam steel closed flat at CNY 3,230 ($518.65) per metric ton.
At CNY 14,200 ($2,280) per metric ton, the week finished with no movement for Chinese aluminum bar. Following a steady week, prices for European 1050 aluminum closed flat at EUR 2,139 ($2,922) per metric ton.
The Construction MMI® collects and weights 9 metal price points used within the construction industry to provide a unique view into construction industry price trends. For more information on the Construction MMI®, how it’s calculated or how your company can use the index, please drop us a note at: info (at) agmetalminer (dot) com.