Construction Activity

Housing prices and finance are up and house building activity is up. Overall construction is however contracting. Figures from Friday show that the (Ai)/Housing Industry Association Performance of Construction Index (PCI) grew by 1.7 points in December to 49.3, just below the 50.0 mark separating expansion from contraction.

Construction activity contracted in December at a slower rate that in the previous month at least.

The result suggests on-going weakness in overall construction activity, the Australian Industry Group (Ai Group) says.