November 2018 Construction Spending

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Construction spending during November 2018 was estimated at a seasonally adjusted annual rate (SAAR) of $1,299.9 billion, 0.8% (±1.3%)* above the revised October estimate of $1,289.7 billion (originally $1,308.8 billion); consensus expectations were for +0.3%. The November figure is 3.4% (±1.5%) above the November 2017 SAAR of $1,257.3 billion; the not-seasonally adjusted YoY change (shown in the table below) was +2.5%.

During the first eleven months of 2018, construction spending amounted to $1,200.7 billion, 4.5% (±1.2%) above the $1,149.3 billion for the same period in 2017.

* 90% confidence interval includes zero. The U.S. Census Bureau does not have sufficient statistical evidence to conclude that the actual change is different from zero. 

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Private Construction

Spending on private construction was at a SAAR of $993.4 billion, 1.3% (±0.8%) above the revised October estimate of $980.4 billion.
- Residential+ $542.5 billion, 3.5% (±1.3%) above the revised October estimate of $524.2 billion.
- Nonresidential: $450.8 billion, 1.2% (±0.8%) below the revised October estimate of $456.1 billion.

Public Construction

Public construction spending was $306.5 billion, 0.9% (±2.3%)* below the revised October estimate of $309.3 billion.
- Educational: $76.7 billion, 2.0% (±1.6%)* below the revised October estimate of $78.3 billion.
- Highway: $93.4 billion, 1.7% (±5.6%)* above the revised October estimate of $91.8 billion.

The foregoing comments represent the general economic views and analysis of Delphi Advisors, and are provided solely for the purpose of information, instruction and discourse. They do not constitute a solicitation or recommendation regarding any investment.