01.10.202614:19:28UTC+00US Construction Spending Surprises on the Upside

US construction spending increased by 0.9% month-over-month in August 2026, reaching a seasonally adjusted annual rate of $2,203 billion — the highest level since February 2024. This followed a downwardly revised 0.1% decline in July and outperformed market expectations for no change.

Private construction outlays rose 1.1%, driven by a 1.1% gain in residential spending. Within housing, both single-family and multi-family construction advanced by 0.2%. Nonresidential private construction also increased by 1.0%, with notable strength in offices (+4.6%), religious buildings (+2.9%), transportation projects (+1.2%), and power facilities (+0.9%).

Public-sector construction spending edged up 0.2%, reflecting gains in both residential (+0.3%) and nonresidential (+0.2%) categories.

On a year-over-year basis, total construction spending declined by 1.7%.