U.S. construction spending rebounded in August after two straight months of declines, boosted by increases in both private and public outlays.
The Commerce Department said on Monday that construction spending rose 0.5 percent to $1.21 trillion. July’s construction outlays were revised sharply down to show a 1.2 percent plunge instead of the previously reported 0.6 percent drop.
Economists polled by Reuters had forecast construction spending rising 0.4 percent in August. Construction spending increased 2.5 percent on a year-on-year basis.
The government said Hurricanes Harvey and Irma did not appear to have impacted the construction spending data as the responses from the Texas and Florida areas affected by the storms were “not significantly lower than normal.”
In August, spending on private residential projects increased 0.4 percent, rising for a fourth straight month. Spending on nonresidential structures increased 0.5 percent, snapping two straight monthly declines.