Construction Confidence advances to 97.5 points in June, says FGV

The Construction Confidence Index (ICST) advanced 1.2 point in June, to 97.5 points, after registering 96.3 points in May, informed this Monday (27) the Fundação Getulio Vargas (FGV). In quarterly moving averages, the index advanced 1.5 points.

“The first half of 2022 came to an end with the increase in construction confidence, corroborating the perception that last year’s growth was extended, leveraged by investments in the real estate market and infrastructure”, says the coordinator of Construction Projects at FGV. , Ana Maria Castelo, in a note.

In the openings, the Current Situation Index (ISA-CST) advanced 1.4 points, to 93.9 points, pulled by a 2.1 point increase in the current business situation component, to 91.8 points.

The contract portfolio indicator rose 0.5 point to 95.9 points.

The Expectations Index (EI-CST) rose 0.9 point to 101.2 points, above the 100-point neutral level for the third straight month.

Among the group’s components, the forecasted demand index for the next three months rose 1.0 point to 103.5 points, and the business trend indicator for the next six months increased 0.8 point to 98.8 points.

The Installed Capacity Utilization Level (NUCI) of construction advanced 1.1 percentage point in June, to 77.1%.

In openings, the NUCI for Manpower grew 0.9 percentage point, to 78.4%, while the NUCI for Machinery and Equipment advanced 0.7 percentage point, to 72.3%.

costs

In June, FGV captured an increase in the number of companies that consider costs a limiting factor. Considering labor and raw materials, costs were cited by 50.2% of the companies consulted as the main limitation to business expansion.

“In recent months, costs have accelerated again, reflecting increases in wages and in materials such as steel, cement and derivatives. The result is that the indication of an increase in prices reached a record in the historical series”, points out Ana Maria Castelo.