Public Construction
Public construction has posted steady growth since 2005, helped by the improved budget outlook for state & local governments. This solid growth trajectory has remained intact through 2007, with the m/m declines in December and January of 2008 likely only a hiccup on an upward growth trajectory.

Quarterly Fixed Investment Outlook
The significant upward revisions to both January and February imply similar upward revision risk for Q1 GDP. We now expect the 0.6% Q1 GDP gain to be boosted to 0.9%, while our -0.5% estimate for Q2 has been raised to a flat figure.