by Rebecca Walker — May 6, 2009—Construction spending rose unexpectedly in March after five straight declines, as strength in nonresidential projects and government building offset weakness in housing.
The Commerce Department says construction spending increased 0.3 percent in March, the best showing since a similar rise last September. Economists had expected spending to drop 1.5 percent.
The 0.3 percent gain followed a revised 1 percent drop the prior month. The advance in non-residential projects was led by building of power plants, hotels and factories.
Economists projected construction spending would drop 1.6 percent, according to the median estimate of 45 economists. Forecasts ranged from declines of 3.2 percent to 0.5 percent.
Non-residential construction, including public projects, increased 2 percent. Compared with a year earlier, it was up 1.7 percent.
For more information, see the Forbes article.
