US Construction Spending Unexpectedly Falls

2026-11-02 15:13 By Luisa Carvalho 1 min. read

Construction spending in the US slipped by 1.9% month-over-month to a seasonally adjusted annual rate of $2,186.1 billion in September 2026, marking the steepest drop since April 2020, after an upwardly revised 2% advance in August.

Figures contrasted with the expected 0.4% increase.

Total private construction shrank by 2.4%, led by a 5.5% decline in residential activity, likely reflecting mounting construction cost pressures on renovation projects.

Single-family housing outlays were flat compared with August but fell 2.4% on an annual basis.

Conversely, spending on nonresidential structures rose by 1.1%, with solid increases in office (5.5%), power (1.2%) and religious (1.1%) more than offseting decreases in amusement and recreation (-1.3%) and educational (-0.6%).

Meanwhile, public construction spending fell by 0.1%, reflecting a 0.1% decrease in nonresidential, outweighed by a 1.8% rise in the residental segment.

Year-on-year, construction spending dropped by 2.7%.



News Stream
US Construction Spending Unexpectedly Falls
Construction spending in the US slipped by 1.9% month-over-month to a seasonally adjusted annual rate of $2,186.1 billion in September 2026, marking the steepest drop since April 2020, after an upwardly revised 2% advance in August. Figures contrasted with the expected 0.4% increase. Total private construction shrank by 2.4%, led by a 5.5% decline in residential activity, likely reflecting mounting construction cost pressures on renovation projects. Single-family housing outlays were flat compared with August but fell 2.4% on an annual basis. Conversely, spending on nonresidential structures rose by 1.1%, with solid increases in office (5.5%), power (1.2%) and religious (1.1%) more than offseting decreases in amusement and recreation (-1.3%) and educational (-0.6%). Meanwhile, public construction spending fell by 0.1%, reflecting a 0.1% decrease in nonresidential, outweighed by a 1.8% rise in the residental segment. Year-on-year, construction spending dropped by 2.7%.
2026-11-02
US Construction Spending Surprises on the Upside
Construction spending in the US rose by 0.9% month-over-month to a seasonally adjusted annual rate of $2,203 billion in August 2026, following a downwardly revised 0.1% decrease in July. Analysts had expected a flat reading. Private-sector construction rose 1.1%, supported by a 1.1% increase in residential activity, amid gains in single-family projects (+0.2%) and multi-family construction (+0.2%). Spending on nonresidential structures like offices and factories grew by 1%, with solid increases in office (4.6%), religious (2.9%), transportation (1.2%) and power (0.9%) construction. Meanwhile, public spending went up by 0.2%, driven by increases in both the residential (0.3%) and nonresidential (0.2%) segments. Year-on-year, construction spending shrank by 1.7%.
2026-10-01
US Construction Spending Falls 0.5% in July
Construction spending in the US fell 0.5% month-over-month to a seasonally adjusted annual rate of $2,158 billion in July 2026, following a upwardly revised flat reading in June and missing market expectations of a flat reading. Residential construction spending fell 1.3%, while nonresidential spending edged up 0.1%. Within the nonresidential sector, the largest declines were recorded in conservation and development (-1.4%), manufacturing (-1%) and public safety (-1%). These were partly offset by gains in office construction (2.9%). Meanwhile, both private (-0.5%), dragged by a 3.2% decline in new single family residential construction spending, and public (-0.2%) construction spending fell over the month. In the first seven months of 2026, total construction spending fell 3.5% from the same period a year earlier to $1.245 trillion.
2026-09-01