Outlays for U.S. construction projects sped up in May 2024
Construction Spending
Modified 2024-07-01T16:55:50+00:00
Goran Soko / CSIMarket.com Contributer
Construction spending increased on the faster pace again, led by increase in residential construction.
Spending on construction projects increased in the May 2024 on the seasonally adjusted basis by 1.9 %, reported by the Commerce Department. Growth of residential construction in the last month, shows that more Americans are able to afford to buy own home.
The construction spending is often viewed as an investment indicator as long-term investments tend to increase in positive economic environment.
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From the same month a year ago, construction spending jumped by 9.9 % as the private construction outlays grew less than total construction.
Spending on private construction projects jumped by 3.1 % and accelerated on the seasonally adjusted basis, led by increases of nonresidential outlays at transportation projects, power projects. A negative news came from the business sector, as businesses cut investments for construction of commercial buildings.
Private residential spending is one of the major econmic indicators, represents now 43.48 % of total construction spending. Residential spending exerts a sizable influence because so many raw materials and finished goods are required to build homes and furnish them.
Over the last 12 months, private construction outlays soared by 7.5 %.
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| Public Construction Spending
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Public construction outlays rose less than a half of total construction growth by 0.1 % on the seasonally adjusted basis, led by increases of nonresidential construction in amusement, recreation projects and commercial buildings. Construction outlays for power and utilities projects declined.
Private residential spending is one of the major econmic indicators, represents now 43.48 % of total construction spending. Residential spending exerts a sizable influence because so many raw materials and finished goods are required to build homes and furnish them.
From the same month a year ago, public construction outlays jumped by 15.3 %.
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Construction Spending Seasonally Adjusted
( in millions $) Annual Rate |
May 2024
Prel. |
April 2024
Prel. |
March 2024
Prel. |
Feb. 2024
Prel. |
Jan. 2024
Prel. |
| Total Construction |
|
2,139,792 |
2,099,039 |
2,083,926 |
2,091,511 |
2,102,434 |
| Residential |
|
930,464 |
902,292 |
895,926 |
912,718 |
912,206 |
| Nonresidential |
|
1,209,329 |
1,196,747 |
1,188,000 |
1,178,793 |
1,190,228 |
| Lodging |
|
23,033 |
22,508 |
22,619 |
23,398 |
23,807 |
| Office |
|
98,151 |
101,641 |
101,638 |
101,546 |
101,975 |
| Commercial |
|
126,760 |
128,646 |
128,955 |
128,585 |
130,964 |
| Health care |
|
66,598 |
66,504 |
67,773 |
66,479 |
67,361 |
| Educational |
|
125,972 |
128,656 |
128,487 |
125,751 |
126,546 |
| Religious |
|
3,997 |
3,946 |
3,948 |
3,922 |
3,921 |
| Public safety |
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18,440 |
17,800 |
17,411 |
15,786 |
14,765 |
| Amusement & recreation |
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37,071 |
36,135 |
35,562 |
34,128 |
34,507 |
| Transportation |
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66,687 |
66,412 |
65,767 |
66,389 |
65,341 |
| Power |
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144,048 |
135,650 |
132,860 |
132,934 |
134,476 |
| Highway & street |
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148,568 |
150,551 |
150,057 |
148,349 |
151,080 |
| Sewage & waste disposal |
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45,331 |
42,167 |
42,810 |
43,140 |
44,016 |
| Water supply |
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30,842 |
30,820 |
29,502 |
28,621 |
29,226 |
| Conservation & development |
|
11,371 |
11,487 |
11,709 |
11,535 |
11,823 |
| Manufacturing |
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234,133 |
228,441 |
223,429 |
222,875 |
224,947 |
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| Total Private Construction
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918,247 |
890,438 |
884,285 |
901,086 |
900,846 |
| Residential |
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918,247 |
890,438 |
884,285 |
901,086 |
900,846 |
| New single family |
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436,606 |
439,185 |
436,983 |
438,786 |
430,129 |
| New multi-family |
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130,883 |
132,053 |
131,366 |
133,219 |
134,477 |
| Nonresidential |
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733,898 |
721,470 |
716,495 |
716,018 |
722,602 |
| Lodging |
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22,351 |
21,833 |
22,019 |
22,813 |
23,217 |
| Office |
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82,372 |
86,031 |
85,745 |
85,614 |
86,082 |
| Commercial |
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121,832 |
123,921 |
124,270 |
124,197 |
126,122 |
| Health care |
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52,558 |
52,895 |
53,957 |
53,093 |
53,699 |
| Educational |
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23,856 |
25,204 |
25,785 |
25,252 |
24,996 |
| Religious |
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3,997 |
3,946 |
3,948 |
3,922 |
3,921 |
| Amusement & recreation |
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17,368 |
16,943 |
16,876 |
16,349 |
16,506 |
| Transportation |
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21,149 |
19,985 |
19,751 |
19,813 |
19,674 |
| Communication |
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27,663 |
24,850 |
25,005 |
24,918 |
24,944 |
| Power |
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123,585 |
113,972 |
111,839 |
113,377 |
114,774 |
| Manufacturing |
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233,251 |
227,614 |
222,589 |
222,225 |
224,293 |
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| Total Public Construction |
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487,648 |
487,131 |
483,146 |
474,407 |
478,986 |
| Residential |
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12,217 |
11,854 |
11,641 |
11,632 |
11,360 |
| Nonresidential |
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475,431 |
475,277 |
471,505 |
462,775 |
467,626 |
| Office |
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15,779 |
15,611 |
15,892 |
15,932 |
15,893 |
| Commercial |
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4,929 |
4,726 |
4,685 |
4,389 |
4,843 |
| Health care |
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14,040 |
13,609 |
13,815 |
13,385 |
13,661 |
| Educational |
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102,117 |
103,452 |
102,702 |
100,499 |
101,549 |
| Public safety |
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18,255 |
17,636 |
17,206 |
15,555 |
14,575 |
| Amusement & recreation |
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19,702 |
19,192 |
18,687 |
17,779 |
18,002 |
| Transportation |
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45,538 |
46,427 |
46,016 |
46,576 |
45,667 |
| Power |
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20,463 |
21,678 |
21,020 |
19,557 |
19,702 |
| Highway & street |
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147,584 |
149,578 |
149,002 |
147,270 |
150,115 |
| Sewage & waste disposal |
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43,953 |
40,577 |
40,573 |
41,124 |
41,920 |
| Water supply |
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29,680 |
29,458 |
28,295 |
27,574 |
28,236 |
| Conservation & development |
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11,163 |
11,300 |
11,700 |
11,462 |
11,691 |
Construction Spending by Month and Category Year on Year Growth at Annual Rate
Construction Spending Seasonally
Adjusted
Annuall Rate ( Y/Y in % ) |
May 2024
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April 2024
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March 2024
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Feb. 2024
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Jan. 2024
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| Total Construction |
9.92 % |
9.99 % |
13.58 % |
14.32 % |
14.54 % |
| Residential |
7.69 % |
5.51 % |
6.97 % |
8.8 % |
7.16 % |
| Nonresidential |
11.7 % |
13.63 % |
19.14 % |
18.99 % |
20.93 % |
| Lodging |
-0.48 % |
-4.72 % |
1.11 % |
5.01 % |
5.9 % |
| Office |
1.36 % |
4.59 % |
4.52 % |
4.51 % |
5.35 % |
| Commercial |
-0.78 % |
-0.27 % |
2.83 % |
1.72 % |
2.36 % |
| Health care |
7.67 % |
14.21 % |
19.76 % |
17.44 % |
18.88 % |
Educational |
12.07 % |
16.78 % |
18.7 % |
17.13 % |
17.69 % |
| Religious |
33.32 % |
24.91 % |
33.97 % |
27.67 % |
27.02 % |
| Public safety |
40.98 % |
53.09 % |
52.82 % |
34.18 % |
33.11 % |
| Amusement & recreation |
15.87 % |
21.66 % |
21.55 % |
16.85 % |
18.57 % |
Transportation |
5.87 % |
6.99 % |
7.31 % |
6.77 % |
5.11 % |
| Power |
22.07 % |
18.98 % |
16.9 % |
16.53 % |
19.76 % |
| Highway & street |
14.59 % |
20.02 % |
22.45 % |
20.95 % |
24.2 % |
| Sewage & waste disposal |
14.8 % |
12.25 % |
13.79 % |
15.66 % |
24.92 % |
Water supply |
17.7 % |
21.36 % |
19.79 % |
18.14 % |
21.86 % |
| Conservation & development |
-1.63 % |
-2.71 % |
-0.05 % |
10.54 % |
13.57 % |
Manufacturing |
16.92 % |
20.69 % |
51.56 % |
58.12 % |
62.02 % |
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| Total Private Construction
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7.54 % |
5.32 % |
6.84 % |
8.68 % |
7.04 % |
| Residential |
7.54 % |
5.32 % |
6.84 % |
8.68 % |
7.04 % |
| New single family |
17.39 % |
21.19 % |
19.29 % |
18.86 % |
14.6 % |
| New multi-family |
0.28 % |
5.16 % |
6.59 % |
8.47 % |
10.02 % |
| Nonresidential |
9.52 % |
10.1 % |
17.97 % |
19.01 % |
20.53 % |
| Lodging |
-2.41 % |
-6.14 % |
-0.12 % |
3.8 % |
4.36 % |
| Office |
-0.54 % |
2.43 % |
1.69 % |
1.85 % |
2.84 % |
| Commercial |
-1.04 % |
-0.52 % |
2.7 % |
1.77 % |
2.03 % |
| Health care |
6.75 % |
14.78 % |
20.33 % |
19.11 % |
20.02 % |
| Educational |
6.24 % |
15.5 % |
20.8 % |
20.08 % |
17.62 % |
| Religious |
33.32 % |
24.91 % |
33.97 % |
27.67 % |
27.02 % |
| Amusement & recreation |
13.59 % |
12.06 % |
13.23 % |
10.16 % |
10.89 % |
| Transportation |
10.09 % |
3.97 % |
2.66 % |
1.87 % |
1.72 % |
| Communication |
14.5 % |
0.76 % |
1.39 % |
0.5 % |
0.52 % |
| Power |
17.48 % |
12.04 % |
9.56 % |
10.72 % |
14.04 % |
| Manufacturing |
16.78 % |
20.46 % |
51.43 % |
58.08 % |
62.01 % |
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| Total Public Construction |
15.35 % |
19.49 % |
20.9 % |
18.95 % |
21.45 % |
| Residential |
20.59 % |
21.38 % |
18.17 % |
18.99 % |
17.48 % |
| Nonresidential |
15.22 % |
19.45 % |
20.96 % |
18.95 % |
21.55 % |
| Office |
12.57 % |
18.35 % |
22.95 % |
21.56 % |
21.44 % |
| Commercial |
6.11 % |
6.85 % |
6.43 % |
0.41 % |
11.77 % |
| Health care |
11.26 % |
12.01 % |
17.55 % |
11.25 % |
14.58 % |
| Educational |
13.53 % |
17.1 % |
18.19 % |
16.42 % |
17.7 % |
Public safety |
41.97 % |
54.58 % |
53.84 % |
34.52 % |
34.01 % |
| Amusement & recreation |
17.95 % |
31.61 % |
30.19 % |
23.77 % |
26.61 % |
| Transportation |
4.03 % |
8.34 % |
9.44 % |
9 % |
6.64 % |
| Power |
59.84 % |
76.36 % |
81.65 % |
67.57 % |
69.17 % |
Highway & street |
14.53 % |
19.9 % |
22.43 % |
20.93 % |
24.37 % |
| Sewage & waste disposal |
14.37 % |
11.15 % |
10.94 % |
13.24 % |
21.63 % |
| Water supply |
17.14 % |
19.29 % |
18.95 % |
17.23 % |
21.73 % |
Conservation & development |
-3.24 % |
-3.95 % |
0.21 % |
10.35 % |
12.85 % |
Construction Spending by Month and Category Month on Month Growth at Annual Rate
Construction Spending Seasonally
Adjusted
Annuall Rate ( M/M in % ) |
May 2024
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April 2024
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March 2024
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Feb. 2024
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Jan. 2024
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| Total Construction |
1.94 % |
0.73 % |
-0.36 % |
-0.52 % |
0.31 % |
| Residential |
3.12 % |
0.71 % |
-1.84 % |
0.06 % |
-1.08 % |
| Nonresidential |
1.05 % |
0.74 % |
0.78 % |
-0.96 % |
1.4 % |
| Lodging |
2.33 % |
-0.49 % |
-3.33 % |
-1.72 % |
0.53 % |
| Office |
-3.43 % |
0 % |
0.09 % |
-0.42 % |
0.56 % |
| Commercial |
-1.47 % |
-0.24 % |
0.29 % |
-1.82 % |
-1.67 % |
| Health care |
0.14 % |
-1.87 % |
1.95 % |
-1.31 % |
2.62 % |
Educational |
-2.09 % |
0.13 % |
2.18 % |
-0.63 % |
1.68 % |
| Religious |
1.29 % |
-0.05 % |
0.66 % |
0.03 % |
2.7 % |
| Public safety |
3.6 % |
2.23 % |
10.29 % |
6.92 % |
-1.05 % |
| Amusement & recreation |
2.59 % |
1.61 % |
4.2 % |
-1.1 % |
0.16 % |
Transportation |
0.41 % |
0.98 % |
-0.94 % |
1.6 % |
0.52 % |
| Power |
6.19 % |
2.1 % |
-0.06 % |
-1.15 % |
2.93 % |
| Highway & street |
-1.32 % |
0.33 % |
1.15 % |
-1.81 % |
-0.85 % |
| Sewage & waste disposal |
7.5 % |
-1.5 % |
-0.76 % |
-1.99 % |
-0.08 % |
Water supply |
0.07 % |
4.47 % |
3.08 % |
-2.07 % |
0.22 % |
| Conservation & development |
-1.01 % |
-1.9 % |
1.51 % |
-2.44 % |
-0.67 % |
Manufacturing |
2.49 % |
2.24 % |
0.25 % |
-0.92 % |
5.17 % |
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| Total Private Construction
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3.12 % |
0.7 % |
-1.86 % |
0.03 % |
-1.19 % |
| Residential |
3.12 % |
0.7 % |
-1.86 % |
0.03 % |
-1.19 % |
| New single family |
-0.59 % |
0.5 % |
-0.41 % |
2.01 % |
0.63 % |
| New multi-family |
-0.89 % |
0.52 % |
-1.39 % |
-0.94 % |
-1.07 % |
| Nonresidential |
1.72 % |
0.69 % |
0.07 % |
-0.91 % |
2.07 % |
| Lodging |
2.37 % |
-0.84 % |
-3.48 % |
-1.74 % |
-0.35 % |
| Office |
-4.25 % |
0.33 % |
0.15 % |
-0.54 % |
0.81 % |
| Commercial |
-1.69 % |
-0.28 % |
0.06 % |
-1.53 % |
-1.78 % |
| Health care |
-0.64 % |
-1.97 % |
1.63 % |
-1.13 % |
3.37 % |
| Educational |
-5.35 % |
-2.25 % |
2.11 % |
1.02 % |
3.36 % |
| Religious |
1.29 % |
-0.05 % |
0.66 % |
0.03 % |
2.7 % |
| Amusement & recreation |
2.51 % |
0.4 % |
3.22 % |
-0.95 % |
-0.15 % |
| Transportation |
5.82 % |
1.18 % |
-0.31 % |
0.71 % |
0.05 % |
| Communication |
11.32 % |
-0.62 % |
0.35 % |
-0.1 % |
0.54 % |
| Power |
8.43 % |
1.91 % |
-1.36 % |
-1.22 % |
2.82 % |
| Manufacturing |
2.48 % |
2.26 % |
0.16 % |
-0.92 % |
5.06 % |
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| Total Public Construction |
0.11 % |
0.82 % |
1.84 % |
-0.96 % |
0.56 % |
| Residential |
3.06 % |
1.83 % |
0.08 % |
2.39 % |
8.74 % |
| Nonresidential |
0.03 % |
0.8 % |
1.89 % |
-1.04 % |
0.37 % |
| Office |
1.08 % |
-1.77 % |
-0.25 % |
0.25 % |
-0.77 % |
| Commercial |
4.3 % |
0.88 % |
6.74 % |
-9.37 % |
1.32 % |
| Health care |
3.17 % |
-1.49 % |
3.21 % |
-2.02 % |
-0.24 % |
| Educational |
-1.29 % |
0.73 % |
2.19 % |
-1.03 % |
1.27 % |
Public safety |
3.51 % |
2.5 % |
10.61 % |
6.72 % |
-1.05 % |
| Amusement & recreation |
2.66 % |
2.7 % |
5.11 % |
-1.24 % |
0.44 % |
| Transportation |
-1.91 % |
0.89 % |
-1.2 % |
1.99 % |
0.73 % |
| Power |
-5.6 % |
3.13 % |
7.48 % |
-0.74 % |
3.61 % |
Highway & street |
-1.33 % |
0.39 % |
1.18 % |
-1.9 % |
-0.7 % |
| Sewage & waste disposal |
8.32 % |
0.01 % |
-1.34 % |
-1.9 % |
0 % |
| Water supply |
0.75 % |
4.11 % |
2.61 % |
-2.34 % |
1.11 % |
Conservation & development |
-1.21 % |
-3.42 % |
2.08 % |
-1.96 % |
-1.46 % |
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