It's not a coincidence that commodities prices are increasing simultaneously with capacity utilization.

Core prices are at a little higher pace than the Fed is comfortable with, but they're certainly not out of bounds, and the interest rate increases over the past year and a half have kept inflation relatively low.

We expect that prices for certain commodities like cement, asphalt, PVC pipes and labor to continue to increase, and that contractors will make sure they put that price increase in their bids. It's a guessing game.

The recommendation is to go for commodities such as soy and cotton, which you can benchmark against global prices.

If gas prices are just holding steady and not increasing, and if incomes are rising, your gas bill is the same, and [consumer] demand can rebound. That's the most likely scenario here.

I'm sure it's not a coincidence.