Whats happening to building material prices ?
Building material prices are still increasing. According to the Australian Bureau of Statistics (ABS) data published this week many common building materials are still increasing faster than inflation. These include bricks, sand, plaster, insulation, fibre cement and timber windows. The exceptions are steel and oil based products and electrical cable which have well and truly fallen from their 2008 highs. After rising 4.5% since June 08 concrete prices are now flattening. This week has been a big week for publication of official price data with publication of the ABS Consumer Price index and Producer Price index. Having become used to inflating prices over the last few years it is interesting to see where there are falling prices in some sectors of the economy. Starting with the most basic level of inflation itself, the consumer price index (CPI) increased 0.5% in the June quarter, and through the year by 1.5%. “The global financial crisis has put an end to inflation” you may think. Ho
