Total construction outlays gained 0.6% thanks to a solid gain in residential and in spite of a small drop in nonresidential.

 

The latest report, combined with the revised higher report of the previous month, meant that there has been five months of consecutive gains. For the month, residential, increased 1.8%. But on the nonresidential side, spending remained mired and posted a 0.3% drop, the second straight monthly decline.

However, the public sector registered advances in both sectors; +1.7% in residential and +0.8% in noncommercial.

"The upturn in the residential category, which is up 17.7% on a three-month annualized basis, reflects renewed homebuilder confidence alongside lower mortgage rates and sturdy job growth," cites the statement from the Wells Fargo Economic Group. "Single family outlays rose 1.2%, while multifamily were flat. Outside of amusement & recreation (+0.3%) and communication (+1.3%), every major private nonresidential subcategory fell during November and overall is down 0.4% year-to-date."