October Construction Rate Holds Steady

WASHINGTON D.C. - Construction spending was virtually unchanged in October from the previous month, according to a Commerce Department report released Wednesday.

October's rate was a seasonally adjusted annual rate of $1.01 trillion, a record high. The report suggested that construction activity, which has been seeing slower growth since July, still remains vibrant.

During the first 10 months of this year, construction spending amounted to $832.4 billion, nine percent above the $763.6 billion for the same period in 2003.

Spending on private construction was at a seasonally adjusted annual rate of $773.4 billion, 0.3 percent below the revised September estimate of $776 billion. Residential construction was at a seasonally adjusted annual rate of $549.4 billion in October, 0.3 percent below the revised September estimate of $551.1 billion. Nonresidential construction was at a seasonally adjusted annual rate of $224 billion in October, 0.4 percent below the revised September estimate of $224.8 billion.

The report noted that for public construction, October's estimated seasonally adjusted annual rate of spending was $236 billion, 1.2 percent above the revised September estimate of $233.1 billion. Educational construction was at a seasonally adjusted annual rate of $64 billion, 0.2 percent below the revised September estimate of $64.2 billion. Highway construction was at a seasonally adjusted annual rate of $66.7 billion, 6.4 percent above the revised September estimate of $62.7 billion.