Updated: 01-Jul-24 10:36 ET
| May Construction Spending |
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| Updated: 01-Jul-24 10:36 ET |
Highlights
- Total construction spending decreased 0.1% month-over-month in May (Briefing.com consensus 0.1%) following an upwardly revised 0.3% increase (from -0.1%) in April.
- Total private construction was down 0.3% month-over-month while total public construction was up 0.5% month-over-month.
- On a year-over-year basis, total construction spending was up 6.4%.
Key Factors
- Total residential spending decreased 0.2% month-over-month while nonresidential spending fell 0.1% month-over-month.
- In private construction, residential spending was down 0.2%, led by a 0.7% decline in new single-family construction. New multifamily construction was flat. Nonresidential spending declined 0.3%, paced by a 0.6% decline in commercial spending, a 0.8% decline in power spending, and a 1.7% decline in office spending.
- In public construction, nonresidential spending increased 0.4% month-over-month, led by increases in all categories except power (-0.7%), highway and street (-0.5%), and conservation and development (-0.6%).
Big Picture
- The key takeaway from the report was the drag in private residential spending that was driven by a decline in new single-family construction at a time when overall housing inventory has been constrained due to a lack of inventory for existing homes.
| Category | MAY | APR | MAR | FEB | JAN |
| Nominal (Current) Dollars | |||||
| Total Construction | -0.1% | 0.3% | 0.1% | 0.5% | 1.0% |
| Private | -0.3% | 0.4% | -0.2% | 0.6% | 1.6% |
| Residential | -0.2% | 0.9% | -0.2% | 1.1% | 2.0% |
| Nonresidential | -0.3% | -0.3% | -0.1% | -0.1% | 1.1% |
| Public | 0.5% | 0.0% | 1.1% | 0.5% | -1.0% |
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