02.08.202115:18:00UTC+00U.S. Construction Spending Inches Up Less Than Expected In June

A report released by the Commerce Department on Monday showed a modest increase in U.S. construction spending in the month of June.

The Commerce Department construction spending crept up by 0.1 percent to an annual rate of $1.552 trillion in June after edging down by 0.2 percent to a revised rate of $1.551 trillion in May.

Economists had expected construction spending to increase by 0.4 percent compared to the 0.3 percent dip originally reported for the previous month.

The uptick in construction spending came as spending on private construction rose by 0.4 percent to an annual rate of $1.215 trillion.

Spending on residential construction jumped by 1.1 percent to a rate of $763.4 billion, more than offsetting a 0.7 percent drop in spending on non-residential construction to a rate of $451.8 billion.

Meanwhile, the report said spending on public construction tumbled by 1.2 percent to an annual rate of $337.0 billion.

Spending on educational construction slid by 0.8 percent to a rate of $81.3 billion, while spending on highway construction plunged by 5.3 percent to a rate of $92.4 billion.

The Commerce Department noted total construction spending in June was up by 8.2 percent compared to the same month a year ago.