Construction spending jumps 1.5% in January on nonresidential gains

Home construction site prepU.S. construction spending jumped 1.5 percent in January over an already 8-year high reached in December.

Total spending rose to $1.14 trillion, a 10.4-percent improvement over January 2015, according to preliminary data from the Commerce Department.

The jump came thanks to a 2.5-percent increase in nonresidential spending to $702 billion.

The largest monthly nonresidential gains in terms of percentage came from highway and street, up 14.6 percent to $111 billion; conservation and development, up 10 percent to $7.6 billion; and lodging, up 6.3 percent $24 billion.

Residential spending for the month was flat but remains 7.6 percent above the year ago total.

Spending on single family construction fell 0.2 percent from the December total to $230 billion. Multi-family increased 2.6 percent to $60 billion. Single family spending is up 6.6 percent year over year while the multi-family total is up 30.4 percent.

Total private construction spending rose 0.5 percent to $831 billion and is 9.5 percent above the January 2015 total.

Public spending rose 4.5 percent for the month to $309 billion, up 13 percent year over year.