Roofers work on new homes at a residential construction site in the west side of the Las Vegas Valley in Las Vegas, Nevada April 5, 2013. (Photo: Reuters)
The U.S. Census Bureau said construction spending in October tripled the median economic forecast, rising 1.4% from the revised estimate in September. Worth noting, non-residential construction spending had been lagging housing in the report but was the primary driver in October.
Overall, construction spending was estimated at a seasonally adjusted annual rate of $1,241.5 billion, up from $1,224.6 billion. That’s 2.9% (±1.6%) higher than the October 2016 estimate of $1,206.6 billion. During the first 10 months of this year, construction spending amounted to $1,029.6 billion, 4.1% (±1.2%) above the $988.8 billion for the same period in 2016.
Spending on private construction was at a seasonally adjusted annual rate of $949.9 billion, 0.6% (±0.8%)* higher than the revised September estimate of $943.8 billion.
Residential construction was at a seasonally adjusted annual rate of $517.7 billion in October, 0.4% (±1.3%)* above the revised September estimate of $515.4 billion. Nonresidential construction was at a seasonally adjusted annual rate of $432.2 billion in October, 0.9% (±0.8%) above the revised September estimate of $428.4 billion.
In October, the estimated seasonally adjusted annual rate of public construction spending was $291.6 billion, 3.9% (±2.6%) above the revised September estimate of $280.7 billion. Educational construction was at a seasonally adjusted annual rate of $79.0 billion, 10.9% (±2.5%) above the revised September estimate of $71.2 billion. Highway construction was at a seasonally adjusted annual rate of $86.8 billion, 1.1% (±6.3%)* above the revised September estimate of $85.9 billion.
