Construction Spending Rises 0.2 Percent Showing Growth For 3rd Consecutive Month
August 1, 2011
According to the Associated Press, data released for the month of June, 2011 indicates that builders began work on more office buildings, shopping centers and hotels in June, pushing construction spending higher for a third straight month. But even with the gains, activity remains at depressed levels.
Construction spending rose 0.2 percent in June to a seasonally adjusted annual rate of $772.3 billion, the Commerce Department reported Monday. That put overall spending just 1.2 percent higher than the 11-year low hit in March. It is just half of the $1.5 trillion pace considered healthy by most economists.
In June, residential construction declined, reflecting a big drop in apartment construction, and spending on government building projects also fell. But private nonresidential activity rose to the highest level since late 2010. For more information, click here to read the Associated Press story.