Construction Spending Inches Up in March Compared to February as Private Sector Spending Contributes to 6 Percent Annual Increase in Activity

Construction spending inched up in March 2012 to an annualized rate of $808 billion, up 0.1 percent compared to the previous month and is now 6 percent above year ago levels, according to a new analysis of federal data released today by AGC.  The overall gains mask divergent trends however, as public sector construction activity continues to decline while private sector demand for new construction continues to strengthen. “Private and public sector demand for construction appear to be heading along two distinct directions,” said Ken Simonson, AGC’s chief economist.  “While it is great to see private sector activity coming back to life, it is unfortunate to see declining public sector demand dampen the industry's overall growth.” Click here to see the full press release.