–July Construction Spending Revised Sharply Lower, August Higher
–New Residential Building Up 0.5%, Remodeling Up 1.4%
–Nonresidential Construction Up 0.3% To Highest Since December 2009
–Public Construction Down 0.6%
By Kevin Kastner
WASHINGTON (MNI) – Spending on construction rose 0.2% in September,
slightly below expectations, with both a rise in private construction
more than offsetting a public construction decline, data released by the
Commerce Department Monday morning showed.
Analysts in a Market News International survey had expected
construction spending to rise 0.3% in September. Construction spending
in August was revised up slightly to a 1.6% increase from the previously
reported 1.4% rise, but July spending was revised down sharply to a 3.3%
drop from the previously reported 1.4% decline.
Private residential construction rose 0.9% in September, with
single-family construction up 0.5% and multi-family building up 0.2%.
As a result, total new home construction was up 0.5% in September.
Home remodeling activity rose 1.4% in the month after holding
roughly steady in August, a Market News International calculation shows.
Private nonresidential construction rose 0.3% in September, but a
number of key sectors saw declines. However, health care building rose
3.5%. The level of nonresidential construction, which reached $273.5
billion in September, was the highest since December 2009.
Public construction fell 0.6% in the month to a level of $285.4.
Federal construction spending fell 6.8%, but state and local
construction rose 0.1% to the highest level since January 2011.
** Market News International Washington Bureau: 202-371-2121 **
[TOPICS: MAUDS$,MT$$$$,M$U$$$,MAUDR$]
