Highlights
Construction outlays came in softer than expected as a drop in public outlays offset most of the gains in the private sector. Construction spending rebounded 0.1 percent in March after falling 1.4 percent the prior month (originally down 1.1 percent). Analysts projected a 0.5 percent increase for March.

The rise in March was led by both private residential and private nonresidential outlays. Private residential outlays gained 0.7 percent after dropping 2.2 percent in February. The latest number was led by the new one-family subcomponent. Private nonresidential outlays advanced 0.7 percent, following a 1.7 percent dip the month before. Public outlays fell 1.1 percent after a 0.3 percent decline in February.

On a year-ago basis, overall construction posted at up 6.0 percent in March, compared to 5.6 percent the month before.

The latest construction outlays report suggests upward revisions in first quarter GDP to private investment in residential and nonresidential structures but a downward revision to government spending. Overall, combined public and private construction is not adding to economic growth currently. But the private sector may be rising a bit.

Market Consensus before announcement
Construction spending fell 1.1 percent in February, following a 0.8 percent decrease the month before. The drop in February was led by a 1.7 percent drop in public construction with private nonresidential decreasing 1.6 percent. New one-family outlays fell 1.5 percent after a 2.2 percent rise in January. However, new multifamily construction gained 2.0 percent after a 2.6 percent boost in January.

2012 Release Schedule

Released On: 1/3 2/1 3/1 4/2 5/1 6/1 7/2 8/1 9/4 10/1 11/1 12/3 Release For: Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct