Construction spending inches up 0.1% in June

shutterstock_67472749With no change to nonresidential spending, total construction spending in the U.S. saw its smallest gain in five months, according to preliminary estimates from the Commerce Department.

The primary fuel for the industry’s huge spending growth in the last year or so has been nonresidential which was flat this month at $687 billion. Residential, meanwhile, increased 0.4 percent to $378 billion. The totals represent 12 and 13 percent year-over-year gains, respectively.

Total construction spending was up 0.1 percent to $1.065 trillion.

Nonresidential’s largest percent gains came from water supply, up 12.2 percent to 15 billion; amusement and recreation, up 10.2 percent to $23 billion and lodging, up 3.9 percent to $22 billion.

Private nonresidential spending fell 1.3 percent to $395 billion but remains up 14.6 percent over June 2014.

Meanwhile, private residential spending, up 0.4 percent to $372 billion, continues to be driven by multi-family construction spending, up 2.8 percent from May and 23.7 percent from June 2014 to $51 billion. Single-family spending fell 0.3 percent in June to $210 billion, but remains up 13 percent year-over-year.

Total private spending fell 0.5 percent to $766 billion. That figure is up 13.7 percent year over year. Government construction spending rose 1.6 percent in June to $298 billion.

Government spending on residential projects fell 3.8 percent to $6.4 billion while spending on nonresidential projects rose 1.7 percent to $292 billion.

The largest percent gains among government nonresidential were water supply, up 13.3 percent to $14.6 billion; amusement and recreation, up 11 percent to $12 billion and transportation, up 3.3 percent to $33 billion.