Dive Brief:

• Construction material prices increased 0.5% between March and April but are still 2.9% lower than April 2015, according to an Associated Builders and Contractors analysis of Bureau of Labor Statistics data released Friday.
• April was the second consecutive month of increases in construction industry inputs in the Producer Price Index. Prices declined in the nine months prior to March.
• Only three of 11 input prices declined between March and April: prepared asphalt, plumbing fixtures and fittings, and nonferrous wire and cable. The remaining eight inputs saw prices rise last month.

Dive Insight:

ABC Chief Economist Anirban Basu said commodity prices have inched up recently due to "a number of potentially temporary phenomena," such as the weak U.S. dollar. He added that although prices have now risen for two consecutive months, they still "remain low by historic standards and will likely continue to do so for the foreseeable future."

Basu advised construction professionals to keep in mind that despite the slight price growth, they shouldn't expect prices to continue on an upward path, as economic conditions do not indicate sustained growth is likely for material prices. "The story of inexpensive materials will continue to be told," he said in a release.

Although declining material prices can have positive effects for construction companies amid a building boom across the U.S., they were also causing significant damage to the energy sector and the states that rely on it. The slight rise in oil and gas prices was welcome news for those economies.