Construction Spending Flat-Lined in May

Construction spending in the U.S. was<bessentially flat in May although there were gains from one year earlier.  A small gain in spending by the public sectorrnwas partially offset by a loss in private spending.  The U.S. Census Bureau estimated totalrnconstruction spending during the month at a seasonally adjusted annual rate ofrn$956.1 billion, up 0.1 percent from the April estimate of $955.1 billion andrn6.6 percent higher than spending in May 2013 which was at a rate of $896.6rnbillion.  Residential spending totaledrn$359.9 billion, a decrease of 1.4 percent from April’s $365.2 billion but 7.0rnpercent higher than the $336.3 billion spending rate in May 2013.</p

On a non-seasonally adjusted basisrnoverall spending in May was $81.4 billion compared to $78.4 billion in Aprilrnand 76.9 billion in May 2013. rnNon-seasonally adjusted spending on residential construction was $31.3rnbillion compared to $29.6 billion and $29.5 billion for the two earlier periods.  Year-to-date residential spending this yearrnis $135.7 billion compared to $122.6 billion in 2013.</p

Private spending was at a seasonallyrnadjusted annual rate of $682.8 billion. rnThis was 0.3 percent below the pace in April of $684.6 billion but arnsignificant 9.0 percent above the seasonally adjusted pace of $626.5 billion onernyear earlier.  On a non-seasonallyrnadjusted basis total private spending was $58.1 billion in May compared torn$56.6 billion in April, and $53.9 billion a year earlier.  Year-to-date spending in 2014 is $262.9rnbillion against $235.1 billion in 2013, an increase of 11.9 percent </p

Residential construction was at arnseasonally adjusted rate of $354.8 billion, 1.5 percent below the figure forrnApril, $360.1 billion, and 7.5 percent above the May 2013 pace of $330.1rnbillion.   Non-seasonally adjustedrnprivate residential spending in May was $30.9 billion against $29.2 billion inrnApril and $28.9 billion in May 2013. rnYear-to-date residential expenditures are $133.7 billion, 11.2 percent higherrnthan the $120.2 billion spent by the end of May 2013.</p

Total public expenditures for constructionrnin May were at a rate of $273.3 billion, up 1.0 percent from April’s $270.5rnbillion and 1.2 percent above May 2013’s rate of $270.1 billion.  Residential expenditures in May were at anrnannual rate of $5.2 billion compared to $5.1 billion in April (+1.0) and $6.3rnbillion in May 2013 (-17.9 percent).

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