Total construction spending rose modestly for the third straight month in April as a mix of increases and declines in public and private categories showed the sector's recovery remains fragile and fragmented, according to an analysis of new Census Bureau data by the Associated General Contractors of America. Association officials said the industry could benefit from new federal investments in infrastructure to offset declining public sector demand. “Residential, private nonresidential and public construction spending all have areas of strength but also pockets of weakness,” said Ken Simonson, the association’s chief economist. “While the overall trend remains more positive than last … Read more

WASHINGTON, D.C. — The Architecture Billings Index has reverted into negative territory for the last two months. As a leading economic indicator of construction activity, the ABI reflects the approximate nine- to twelve-month lead time between architecture billings and construction spending. The American Institute of Architects reported the March ABI score was 49.6, up slightly from a mark of 48.8 in March. This score reflects a decrease in design activity (any score above 50 indicates an increase in billings). The new projects inquiry index was 59.1, up from the reading of 57.9 the previous month. The AIA has added a … Read more

NRCI = 65.8 RALEIGH, N.C. — FMI announces the release of the 2014 Second Quarter Nonresidential Construction Index report. The NRCI shows slight improvement of a 0.9 point increase from Q1 and a 5.7 point increase from Q2 2013. Although growth continues, it is beginning to slow indicating that the economy still holds a lingering recession mentality. The largest repercussion of this mindset is that it keeps companies from investing, banks from lending and consumers from spending. Thus, the pressure to keep prices low continues along with the need for greater profitability, leading to two key challenges: How to improve … Read more