by Calculated risk on 01/08/2022 12:39:00 PM
The Census Bureau reported that overall construction spending increased:
Construction spending during June 2022 was estimated at a seasonally adjusted annual rate of $1.762.3 billion, 1.1 percent below May revised estimate of $1,781.9 billion. The June figure is 8.3 percent higher than the June 2021 estimate of $1,628.0 billion.
Both private and public spending fell:
Spending on private construction came at a seasonally adjusted annual rate of $1416.4 billion, 1.3 percent lower than May’s revised estimate of $1,434.4 billion. …
In June, the seasonally adjusted annual rate of public construction spending was $345.9 billion, 0.5 percent below May’s revised estimate of $347.5 billion.
Click on the chart for a larger picture.
This graph shows spending on private residential and non-residential construction, and public spending, since 1993. Note: Nominal dollars, not inflation.
Housing spending (red) is 36% higher than the bubble peak (in nominal terms – not adjusted for inflation).
Non-residential spending (blue) is 19% higher than the bubble-era peak in January 2008 (in nominal dollars).
Public spending on construction is 6% higher than the peak in March 2009.
The second graph shows the annual change in construction spending.
on an annual basis, Spending on private residential construction increased by 15.5%. Non-residential spending increased 1.7% year over year. Public spending rose 0.4% year over year.
This was less than expectations for a 0.2% increase in spending. With that said, construction spending for the past three months combined was revised up slightly.