Monday , July 6 2020
Home / Calculated Risk / Construction Spending Decreased in April

Construction Spending Decreased in April

Summary:
From the Census Bureau reported that overall construction spending decreased in April:Construction spending during April 2020 was estimated at a seasonally adjusted annual rate of ,346.2 billion, 2.9 percent below the revised March estimate of ,386.6 billion. The April figure is 3.0 percent above the April 2019 estimate of ,307.1 billion. emphasis addedBoth private and public spending decreased:Spending on private construction was at a seasonally adjusted annual rate of ,004.1 billion, 3.0 percent below the revised March estimate of ,035.6 billion. ...n April, the estimated seasonally adjusted annual rate of public construction spending was 2.1 billion, 2.5 percent below the revised March estimate of 1.0 billion. Click on graph for larger image.This graph shows private

Topics:
Calculated Risk considers the following as important:

This could be interesting, too:

Charles Hugh Smith writes What Makes You Think the Stock Market Will Even Exist in 2024?

Tyler Durden writes 67 Shot, 13 Fatally, Over Fourth of July Weekend In Chicago: Police

Tyler Durden writes China New Car Sales Crash 37% In 4th Week Of June

Tyler Durden writes State Dept Warns Top US Firms To Replace Supply Chains Exposed To China’s Xinjiang

From the Census Bureau reported that overall construction spending decreased in April:
Construction spending during April 2020 was estimated at a seasonally adjusted annual rate of $1,346.2 billion, 2.9 percent below the revised March estimate of $1,386.6 billion. The April figure is 3.0 percent above the April 2019 estimate of $1,307.1 billion.
emphasis added
Both private and public spending decreased:
Spending on private construction was at a seasonally adjusted annual rate of $1,004.1 billion, 3.0 percent below the revised March estimate of $1,035.6 billion. ...

n April, the estimated seasonally adjusted annual rate of public construction spending was $342.1 billion, 2.5 percent below the revised March estimate of $351.0 billion.
Construction Spending Decreased in April Click on graph for larger image.

This graph shows private residential and nonresidential construction spending, and public spending, since 1993. Note: nominal dollars, not inflation adjusted.

Residential spending is 21% below the previous peak.

Non-residential spending is 13% above the previous peak in January 2008 (nominal dollars).

Public construction spending is 5% above the previous peak in March 2009, and 30% above the austerity low in February 2014.

Construction Spending Decreased in AprilThe second graph shows the year-over-year change in construction spending.

On a year-over-year basis, private residential construction spending is up 6.2%. Non-residential spending is up 1.1% year-over-year. Public spending is up  0.8% year-over-year.

This was above consensus expectations of a 6% decrease in spending, and construction spending for February and March were revised up.

Construction was considered an essential service in most areas and hasn't declined sharply like many other sectors.

Leave a Reply

Your email address will not be published. Required fields are marked *