US Construction Spending Just Collapsed
by Tyler Durden
Aug 1, 2017
Headline growth in US construction spending collapsed in July to just 1.6% YoY - the weakest since 2011.
As Reuters reports, U.S. construction spending unexpectedly fell in June as investment in public projects recorded its biggest drop since March 2002. The Commerce Department said on Tuesday that construction spending tumbled 1.3 percent to $1.21 trillion - the lowest level since September 2016 - drastically missing economists' estimates of a 0.4% increase.
http://www.zerohedge.com/sites/defau...01_const_0.jpg
This downside surprise suggests notable downside revisions to Q2 GDP (from its 2.6% annualized level).
However, most ironic in the government's report was, amid The White House constant chatter of the need for infrastructure spending in America, Federal government construction spending crashed 9.5% - the largest drop since December 2010.
http://www.zerohedge.com/news/2017-0...just-collapsed