According to the Action Economics Alerts (AEA) "The U.S. construction spending report beat expectations in April via a surprisingly robust 1.6% rise in private nonresidential construction." This was coupled with the expected decline in residential construction of 2.3%.
As there was fear of the non-residential industry weakening in the second quarter, this rise is evidence that it is most likely thriving and AEA is predicting a 10% rate of growth for the second quarter.
This information will only continue to fuel the optimism I have for the immediate health of the non-residential industry as it continues to buck predictions of contraction and seems to grow from month to month despite the economic environment. But again, this is just one man's opinion. Leave a message on this blog and let me know how your construction business is currently doing and your opinions on the outlook for the near future. I just ask you include what part of the country you are in and your primary business focus.
April Numbers Continue to Show Strength in Non-Residential Construction
June 3, 2008
