Construction Spending Up in November

The US Commerce Department reported today that construction spending in November grew 1.2% month-over-month to a seasonally adjusted annual rate of $807.1 billion, a gain of 0.5% over November 2010. For the first 11 months of 2011, construction spending has actually fallen by -2.5%, from $743.6 billion in 2010 to $724.8 billion this year.

Private residential construction grew by 2%, to $243.7 billion month-over-month, while non-residential construction was flat at $278.6 billion. Public construction spending grew by 1.7% to $284.9 billion month-over-month. Total private construction grew by 4% year-over-year, while total public construction contracted by -5.3%.

One bright spot was construction in manufacturing facilities, which grew by 13.3% year-over-year in November to $37.8 billion. Commercial construction also grew solidly, 11.4% year-over-year, to a total of $43.8 billion.