Three-Point Jump for Architecture Billings Index

WASHINGTON, D.C. — On the heels of consecutive months of decreasing demand for design services, the Architecture Billings Index has returned to positive territory. 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 May ABI score was 52.6, up sharply from a mark of 49.6 in April. This score reflects an increase in design activity (any score above 50 indicates an increase in billings). The new projects inquiry index was 63.2, up from the reading of 59.1 the … Read more

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Construction Employers Add 6,000 Workers to Payrolls in May, Unemployment Rate Declines

Construction employers added 6,000 workers to payrolls in May as the industry's unemployment rate dropped to 8.6 percent, its lowest May level in six years, according to an analysis of new government data by the Associated General Contractors of America. However, association officials cautioned that gains remain spotty and that thousands of highway construction jobs are at risk because of a pending halt in federal transportation funding later this summer. “Even with five straight months of construction employment gains, the industry remains vulnerable to sudden shifts in demand,” said Ken Simonson, the association’s chief economist. “Should Washington allow federal highway … Read more

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Construction Spending Rises in April for Third Straight Month

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

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Construction Employment Increases, Exceeds Previous Highs

Construction employment expanded in 220 metro areas, declined in 70 and was stagnant in 49 between April 2013 and April 2014, according to a new analysis of federal employment data released by the Associated General Contractors of America. Association officials noted that federal spending cutbacks on government facilities and Hurricane Sandy reconstruction were contributing to job losses around Washington, D.C. and New Jersey. “Construction employment appears to be rebounding in many parts of the country,” said Ken Simonson, the association’s chief economist. “Declines in federal spending likely depressed construction employment near Washington, while the aftermath of Hurricane Sandy may be … Read more

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Contraction in Architecture Billings Index Continues

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

Filed under: Economic News, News