Construction’s Contribution to Economy Increases in 30 States in 2015

  • Posted on

WASHINGTON, D.C. – The value added by the private construction industry as a percentage of gross domestic product increased in 30 states and decreased in only six in 2015, according to a report recently released by Associated Builders and Contractors. Nationally, construction’s direct contribution to GDP increased by 0.1 percent to 3.9 percent from 2014 to 2015. Construction accounted the highest percentage of state GDP in North Dakota, with of 7.6 percent in 2015, compared to a low of 3.1 percent in Connecticut and New York. Six states—Arizona, North Dakota, Mississippi, Oregon, West Virginia and Wyoming—saw a decrease in construction’s … Read more

Filed under: Economic NewsTagged with: ,

Architecture Billings Index Moderates Slightly, Remains Positive

  • Posted on

WASHINGTON, D.C. – The Architecture Billings Index was positive in July for the sixth consecutive month, and tenth out of the last twelve months as demand across all project types continued to increase. As a leading economic indicator of construction activity, the ABI reflects the approximate 9-12-month lead time between architecture billings and construction spending. The American Institute of Architects reported the July ABI score was 51.5, down from the mark of 52.6 in the previous month. This score still reflects an increase in design services (any score above 50 indicates an increase in billings). The new projects inquiry index … Read more

Filed under: Economic NewsTagged with: , , ,

Healthy Outlook for Construction Market Despite Rising Challenges

  • Posted on

WASHINGTON, D.C. – After a strong 2015, there is a growing sense that the construction industry expansion will be more tempered over the next 18 months. However, continued strong demand for hotels, office space and amusement and recreation spaces will ensure continued growth in the overall construction spending market over this time period. The American Institute of Architects’ semi-annual Consensus Construction Forecast, a survey of the nation’s leading construction forecasters, is projecting that spending will increase just less than six percent for 2016, with next year’s projection being an additional 5.6 percent gain. “Healthy job growth, strong consumer confidence and … Read more

Filed under: Economic News, eNewsTagged with: ,

Dodge Momentum Index Inches Higher in July

  • Posted on

NEW YORK, N.Y. – The Dodge Momentum Index moved slightly higher in July, increasing 0.5 percent to 134.7 (2000=100) from its revised June reading of 134.1. The momentum index is a monthly measure of the first (or initial) report for nonresidential building projects in planning, which have been shown to lead construction spending for nonresidential buildings by a full year. July’s modest rise follows a substantial increase in June, which saw the index climb 10.9 percent from the previous month. The index has now moved higher in four consecutive months, the first such string of increases since late 2014. July’s … Read more

Filed under: Economic News, eNewsTagged with: ,

Construction Input Prices Stable in July

  • Posted on

WASHINGTON, D.C. – Nonresidential construction input prices were unchanged in July according to a recent analysis of the Bureau of Labor Statistics Producer Price Index released by Associated Builders and Contractors. Input prices for both the nonresidential construction segment and construction as a whole are 2.3 percent lower than they were a year ago. “ABC has been predicting relative stability in input prices, and that is precisely what July’s report delivered,” said ABC Chief Economist Anirban Basu. “A weak and disappointing global economy has not been able to drag prices higher. Persistently low prices have placed a lid on the … Read more

Filed under: Economic News, eNewsTagged with: , ,