Growth Remains Strong While the Industry Braces for the Looming Recession. What does this mean for contractors, owners, and surety providers?
2022 has been a highly volatile year for the US economy as the population braces for the looming recession. The perfect storm of recessionary indicators is in place. The yield curve inverted. The equities market dropped by over 20 percent into bear territory. The FOMC initiated its QT program and scheduled a series of rate hikes. 30-year mortgage rates are at a 11+ year high. Inflation is at a near 40+ year high. GDP in Q1 was negative. Labor force participation is at a near 45+ year low. Gas prices at the pump are at an all-time high and oil inventories are at an 8-year low. Supply chain issues due to COVID-2019 continue to persist. Geopolitical issues are on the rise due to Russia’s attack of Ukraine. All the while, the unemployment rate remains at a near 50+ year low and the construction industry is coming off two of its greatest growth years.
What does all this mean to the construction industry for the second half of 2022 and 2023? VERTEX’s CEO, Bill McConnell, will answer this question and more during his annual State of the Construction Industry report on July 19, 2022, so don’t miss it.
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