MHN Online
The Census Bureau reported on Monday that U.S. construction spending edged up by 0.1 percent in January 2014 compared with December 2013, defying the nation’s hard weather. Total construction spending was at an annualized rate of $943.1 billion during the first month of the year, compared with $941.9 billion the month before. The January figure is also 9.3 percent above the January 2013 rate of $863.1 billion.
Spending on private construction was at an annualized rate of $670.8 billion in January, or 0.5 percent above the December rate. Residential construction was up 1.1 percent, driving all of the increase in private spending, because nonresidential construction dropped 0.2 percent month over month in January.
Public spending was also a drag on overall construction spending, particular as federal spending dropped. In January, public agencies spent at an annualized $272.3 billion on construction projects, or 0.8 percent less than in December. In real terms, public construction spending has contracted to roughly 2001 levels.
