EmailTotal construction spending increased 0.2% in June after increasing an upwardly revised 0.3% (from -0.6%) in May. The Briefing.com consensus expected construction spending to be flat.
These data were incorporated in the second quarter GDP report.
The growth in construction spending came from the private nonresidential sector.
Public construction, which remains hindered by state and local budget cuts, fell 0.7% in June after increasing 0.4% in May.
Private construction increased a robust 0.8% in June after increasing 0.3% in May. Private residential construction spending fell 0.3% in June. New home construction, surprisingly, was flat in June even though the number of homes currently under construction increased for the first time since 2006. Home improvement project spending declined 0.5%.
Private nonresidential spending jumped 1.8% in June after increasing 1.2% in May. Solid growth was seen in every sector with the exception of religious (-1.0%) and amusement and recreation (-3.9%) spending.
