Construction Spending Rose 0.8 percent in October, Third Straight Gain
December 1, 2011
U.S. builders spent more in October on homes, offices and shopping centers, pushing construction spending up for a third straight month. Despite the gains, construction spending remained depressed.
Construction spending rose 0.8 percent in October to a seasonally adjusted annual rate of $798.5 billion, the Commerce Department said Thursday. While an improvement, that's barely half the $1.5 trillion that economists consider healthy. And through the first 10 months of this year, construction spending is 2.9 percent below the dismal levels from 2010.
The construction industry was hit hard from the housing bust and has had trouble recovering from the recession. Analysts say it could be four years before construction returns to healthy levels.