Construction spending in August fell 0.8% from a revised +1.2% (from +1.8%) in July. It was expected in at +0.5%.
Private non-residential spending was the main driver overall falling 1.4%. In the two biggest $ spending sectors, private spending fell 0.8% from +0.9% while public spending was down 0.9% from +2.1% prior. Third on the largest spending list was residential, which fell 0.1% from +0.4% in July.
This is the type of report that should have economy watchers twitching as construction is an end game to various levels of the economy, (production, materials, employment etc). IF you want to get worried about the US economy then it’s these reports you need to focus on.
Spending is still not a strong factor in the economy and it is one of the big foundations for what helps make America tick.
