Construction spending up 0.8% in November

Updated Jan 5, 2018
Photo courtesy of PennDOT.Photo courtesy of PennDOT.

U.S. construction spending rose during November on gains from both the residential and nonresidential markets.

Total spending rose 0.8 percent from October to a seasonally adjusted annual rate of $1.256 trillion. The total represents a 2.4-percent improvement over the November 2016 rate.

Residential spending by private homebuilders rose 1 percent during November to a rate of $531 billion and is 7.9 percent above the November 2016 rate. Spending on single-family homes rose 1.9 percent to $274 billion, while multi-family spending fell 1.3 percent to $60 billion. Single-family spending is up 8.9 percent over its year-ago rate, while multi-family is down 1.7 percent.

Total nonresidential spending rose 0.6 percent during November to a rate of $719 billion, but remains down 1.3 percent from the 2016 rate for the same month.

Top nonresidential increases for November were commercial, up 4.6 percent to a rate of $70 billion; educational and religious, both of which rose 3.2 percent to $99.5 billion and $3.1 billion, respectively; and sewage and waste disposal, up 1.6 percent to $20.8 billion. Top decreases for the month were conservation and development, down 9.4 percent to $7.3 billion; water supply, down 2.8 percent to $11.3 billion; and public safety, down 2.7 percent to $8.5 billion.

Construction spending from the private sector rose 1 percent during November to a rate of $531 billion. Government spending rose 0.2 percent to $293 billion.