The Consumer Price Index is a measure of inflation and an indicator of the cost of living. It remains stubbornly high, and each new update has increased unease about the possibility of a recession.

The longer it remains elevated, the more dramatic steps will need to be taken to rein it in, and the greater risk of an overcorrection causing a downturn in the market.

We expect inflation to settle in at an average of just over 6% for the year. This should translate into a slowdown in the construction industry, as raised interest rates make borrowing money to finance new projects more difficult. This is not necessarily bad news, however. It should mean fewer new projects

financed now and more later when conditions are more favorable, not more projects now and fewer later when businesses run out of money due to a deep recession.