Construction spending declines in July
| September 06, 2012
Construction spending decreases 0.9 percent in July, according to the September 4 report by the United States Census Bureau, which also reports construction spending is up 9.3 percent year over year.
Nonresidential construction spending fell 0.6 percent in July, with outlays slipping to a seasonally adjusted annual rate of $563.2 billion. Year over year, total nonresidential construction spending is up 5.7 percent.
Several nonresidential construction subsectors have posted large monthly decreases in spending, including conservation and development, down 3.1 percent; manufacturing, down 2.2 percent; and commercial, down 1.8 percent.
Among construction subsectors registering the biggest cuts in spending from the same time last year are conservation and development, down 16.3 percent; water supply, down 13.1 percent; religious, down 7.3 percent; and communication, down 4.1 percent.
Five of 16 nonresidential construction subsectors posted increases in spending for the month, including transportation, up 1.3 percent; religious, up 1.2 percent; public safety, up 0.7 percent; health care, up 0.4 percent; and office, up 0.2 percent.
Nine construction subsectors registered double-digit percentage increases from one year ago, including lodging, up 32.5 percent; power, up 17.7 percent; manufacturing, up 17.7 percent; and transportation, up 13.3 percent.
Residential construction spending fell 1.6 percent for the month, but remains 17.6 percent higher than the same time last year.
To view the previous spending report, click here.