CONSTRUCTION SPENDING UP 0.2%; PRIVATE CONSTRUCTION UNCHANGED
The value of new construction in August rose 0.2% after a 0.5% decline in July. The small increase was better than the 0.3% decline analysts expected. Private construction was unchanged in August after falling 1.1% in July. Private residential construction fell 1.5%, its 18th consecutive monthly decline. Private nonresidential construction increased by 2.3% after a 0.2% decline in July. Private construction of office, commercial, lodging and health care buildings remained strong. The only two sectors showing declines in private construction were religious buildings and construction of power facilities. Public construction rose 0.7% in August following a 1.2% increase in July. The value of state and local construction showed a smaller 0.5% gain but federally funded construction rose 4.2%. Spending on education buildings rose 1.3% and highway and street construction rose 0.8%. However the value of newly constructed transportation facilities fell 2% and public construction of power facilities was down 8.8%.
Kathryn Kobe, NTKN Washington DC