Construction Spending Fell Less than Expected in April

Washington, D.C. (PPD) — Total construction spending was estimated at a seasonally adjusted annual rate of $1,346.2 billion in April, a less than expected 2.9% (±0.8%) decline. The U.S. Census Bureau revised the month of March higher from its initial estimate to $1,386.6 billion.

Forecasts ranged from a low of -8.0% to a high of -0.9%. The consensus forecast was -5.5%.

While a decline, the figure for April is still 3.0% (±1.5%) higher than the April 2019 estimate of $1,307.1 billion. In fact, the first four months of
this year still saw construction spending amount to $412.5 billion. That’s 7.1% (±1.2%) higher than the $385.2 billion during the same period in 2019.

Private Construction

Total private construction spending was estimated at a seasonally adjusted annual rate of $1,004.1 billion, or 3.0% (±0.7%) below the revised March estimate of $1,035.6 billion.

Residential construction posted at a seasonally adjusted annual rate of $536.8 billion in April, 4.5% (±1.3%) below the revised March estimate of $561.9 billion. Nonresidential construction was at a seasonally adjusted annual rate of $467.3 billion in April, 1.3% (±0.7%) below the revised March estimate of $473.6 billion.

Public Construction

Total public construction spending estimated seasonally adjusted annual rate of public construction spending was $342.1 billion, 2.5% (±1.5%) below the revised March estimate of $351.0 billion.

Educational construction was at a seasonally adjusted annual rate of $78.6 billion, down 2.3% (±1.5%) from the revised March estimate of $80.4 billion. Highway construction came in at a seasonally adjusted annual rate of $106.1 billion, down 5.2% (±4.6%) from the revised March estimate of $111.9 billion.