Construction spending rose less than 0.1 percent in July from June, but decreased from year-ago levels due to a weak single-family homebuilding market and declines in some private nonresidential segments, according to an analysis by the Associated General Contractors of America.
Construction spending totaled $1.289 trillion in July, a gain of less than 0.1 percent from the June rate, and a decrease of 2.7 percent from the July 2018 rate. Year-to-date pending declined by 2.1 percent from the January-July total.
Public construction spending increased 0.4 percent for the month and 5.6 percent year-to-date. Among the four largest public categories, spending in the first seven months of 2019 jumped 12.0 percent compared to the same period in 2018.
Private nonresidential spending declined 0.8 percent from June to July, but the seven-month total was 0.6 percent higher than in January-July 2018. Major private nonresidential categories experienced mixed year-to-date results. The largest, power construction, increased by 8.3 percent year-to-date.
Private residential construction spending increased 0.6 percent for the month but slumped 8.5 percent year-to-date. Single family homebuilding decreased 8.7 percent in the first seven months of the year, while spending on multifamily projects increased 6.6 percent.
Source: AGC
