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Monday, June 23, 2008
Oil Crunch Hits Building Materials
Jun 23 2008 3:43PM | Permalink | Email this | Comments (0) |
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In addition, Magruder warns that inventories remain very low in the supply chain. "Any supply chain interruptions or overwhelming demand could put enormous strain on dealers to supply products," he says. "All of the commodity markets are poised for a period of extreme volatility despite lower demand," Magruder cautions. "Builders should be extremely cautious about using today's prices to pro forma tomorrow's projects. Shingles have already begun an allocation process," he says, "and it's very easy to envision allocations for other products in the supply chain."

