June Construction Settles Back One Percent Nationwide
New construction starts in June receded 1% to a seasonally adjusted annual rate of $489.5 billion, according to McGraw Hill Construction, a division of McGraw Hill Financial. Nonresidential building lost momentum in June after strengthening during the previous two months, and housing experienced a pause from its recent upward trend.
Meanwhile, nonbuilding construction advanced in June, lifted by the start of several large bridge projects. For the first six months of 2013, total construction starts on an unadjusted basis were reported at $233.8 billion, down 2% from the same period a year ago. The 2013 year-to-date decline for total construction was due primarily to a sharp reduction for electric utilities compared to a robust first half of 2012. If electric utilities are excluded, total construction starts for the first six months of 2013 would be up 9% from last year, led by substantial growth for housing.