Construction recession arrives

Wednesday 3 August 2022

The AIG construction PMI:

New orders are the key. Led lower by the post-COVID stimulus crash:

Much worse ahead but this again underlines why fixing energy is so vital. There is lot of potential deflation in building materials but only if it is not held up, or made worse, by the energy shock.

Full report.

About the author

David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.