November construction spending data

Construction spending for the month of November rose 0.6%
  • Prior was -0.8% and revised sharply higher to 0.1%
  • Construction spending rose 0.6% versus 0.4% estimate
  • private construction rose 0.4%
  • public spending rose 0.9%
  • private homebuilding rose by 1.9%
  • private nonresidential structures which includes manufacturing power plants dropped for the 3rd straight month. It fell -1.2% to the lowest level since November 2018
  • spending on public construction projects rose 0.9%
  • spending on local government construction projects rose by 0.8%
  • spending on federal government construction projects (which represent a small sliver of overall public construction) increase by 1.7%

the lower rates from the Fed and lower mortgage rates are helping to give the homebuilders some confidence. However investment by nongovernment entities is a concern.