7-15-21 Final demand pricing is still well below materials price increases. However, it’s hard to visualize how more of the cost does not get passed on to consumer. I’m expecting future reports will show final cost inflation increasing.
My current forecast for inflation in 2021 is now 4.5% for nonresidential buildings and 11% for residential.
Most years, inflation climbs at a steady rate. 2021 could end up being a year in which inflation is drastically different in one or two quarters vs the entire year.
8-13-21 As expected, many Final Demand prices surged in July by 1.5% to 2%.