US construction spending sags in July

US construction spending was flat in July as public outlays dropped sharply.

Total construction expenditures were flat at an adjusted annual rate of $1.15trn last month, according to the US Department of Commerce.

Versus a year ago construction spending rose by 1.5%.

Spending from the private sector gre wby 1.0% month-on-month (4.4% year-on-year) to reach an annual rate of $875bn, boosted by a 1.7% jump innon-residential spending.

Public spending on the other hand decreased by 3.1% over the month to $278.2bn (-6.5% year-on-year), with educational construction particularly weak and sporting a decline of 8.3% to $64.6bn.