Econoday Report: Construction Spending 1, 2005

2008 Economic Calendar

Construction Spending

Definition
The dollar value of new construction activity on residential, non-residential, and public projects. Data are available in nominal and real (inflation-adjusted) dollars. Why Investors Care

Released on 4/1/05 For Feb 2005

Construction Spending, M/M change
Actual	0.4%
Consensus	0.7%
Consensus Range	0.0% to 1.5%

Highlights
Construction spending rose 0.4 percent in February, somewhat lower than expected by market participants. February expenditures were 10 percent higher than year ago levels. Private residential spending was up 0.7 percent after last month's 0.3 percent increase. The private nonresidential sector, which grew 1.3 percent in January, declined by 1.2 percent in February. Private residential expenditures are up 12.1 percent from a year ago, while private nonresidential spending is 6 percent higher than last January.

All in all, the data reflect continuing strong construction activity, spurred by a low interest rate environment.

Market Consensus Before Announcement
Construction spending rose 0.7 percent in January. Housing starts improved in the past three months and this could help boost construction expenditures in upcoming months. In addition, we could see increases in nonresidential spending as well.

Construction spending Consensus Forecast for Feb 05: 0.7 percent
Range: 0.0 to 1.5 percent

Trends

Construction spending has moderated significantly over the past year despite strenth in the housing market. Residential construction is not growing as rapidly as it did even though current levels are high. Nonresidential construction has begun to improve, but gains are still modest.

Data Source: Haver Analytics

2005 Release Schedule

Released On: 1/3 2/1 3/1 4/1 5/2 6/1 7/1 8/1 9/1 10/3 11/1 12/1

Released For: Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct