Market comment - PMI shows construction sector rebound driving higher input prices

Davy Research
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Ireland’s Construction PMI rose to 61.4 in January, an eight-month high, with both commercial and residential activity seeing strong growth. However, input prices also rose — at the fastest pace in 11 years. Our latest analysis shows that so far 10,263 Building Energy Rating (BER) certificates were issued for homes built in 2017, up 23%. The final 2017 figure will probably be closer to 12,000 but still well short of natural demographic demand of at least 35,000.