Construction spending increased 0.2 percent from July to August as a pickup in multifamily residential building outweighed mixed results for private nonresidential categories, according to an analysis of a new government report that the Associated General Contractors of America released today. Association officials noted that the data, which was delayed by the government shutdown, shows the impacts of economic uncertainty on demand for construction.
“Private and public sector construction owners are clearly being impacted by uncertainty about federal funding, material prices, and labor supply,” said Macrina Wilkins, the association’s senior research analyst. “The question is whether the reopening of the government will lead to a future bump in demand for construction.”
Read more.