US Construction Spending Rose to 11 year High in February

U.S. construction spending rose to a near 11-year high in February amid robust gains in home building investment.

The Commerce Department said on Monday that construction spending increased 0.8 percent to $1.19 trillion. That was the highest level since April 2006 and followed an upwardly revised 0.4 percent drop in January.



Economists polled by Reuters had forecast construction spending rebounding 1.1 percent in February after a previously reported 1.0 percent decline the prior month. Construction spending increased 3.0 percent from a year ago.

In February, private construction spending rose 0.8 percent to its highest level since May 2006 after being unchanged in January. Spending on residential construction surged 1.8 percent to its highest level since July 2007. Investment in homebuilding has now increased for five straight months.

via Reuters

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza