The Wright Express Construction Fuel Consumption Index (blue line) reflects the value of total construction put in place (dotted red) since early 2008.
Photo credit: Wright Express Corp.
The Wright Express Construction Fuel Consumption Index (FCI) indicated 1.8% greater fuel use (and construction activity) in November than in November 2010, and a 0.6% increase over October.
"Analysis of the November 2011 FCI data provides additional evidence that the construction industry is beginning to recover from low levels," said Michael Dubyak, Wright Express chairman and CEO. "While the small size of the gains suggests a true recovery for the construction industry is not imminent, consistent annual growth provides a measure of confidence."
The seasonally adjusted Construction FCI has experienced positive year-over-year gains throughout 2011, but growth has been modest.
Wright Express Corp., in collaboration with IHS, a global source of information and analysis, created the Wright Express Construction FCI to measure national fuel consumption for the construction industry and provide an accurate and up-to-date indication of U.S. construction activity. The construction segment comprises approximately 20% of the Wright Express portfolio of customers.
Wright Express works with IHS to capture and analyze transaction data from its closed loop network of more than 180,000 fuel and vehicle maintenance locations, including over 90 percent of the domestic retail fuel locations and 45,000 vehicle maintenance locations. With this data, the Wright Express Construction FCI can be used to identify emerging trends within the construction industry and the national economy.
Indicators were tested at monthly, quarterly, and annual frequencies, with the greatest insights produced using the year-over-year percent change of the monthly data.
The Wright Express Construction FCI, which is available monthly in advance of the U.S. Census Bureau figures on construction spending.
Wright Express Corporation (NYSE: WXS) is a leading global provider of value-based business payment processing and information management solutions. The company's fleet, corporate, and prepaid payment solutions provide its more than 350,000 customers with unparalleled security and control across a wide spectrum of business sectors. The company's subsidiaries include Wright Express Financial Services, Pacific Pride and Wright Express International, including Wright Express Prepaid Cards Australia and Wright Express Fuel Cards Australia. Wright Express and its subsidiaries employ more than 850 associates in six countries.