Core Report | February 2, 2024

Total construction spending on a seasonally adjusted basis ended the year on a strong note. December construction spending increased to a $2.096 trillion rate, up 0.9% from November and up 13.9% from the $1.841 trillion rate in December 2022. December had the largest year-over-year increase since July 2022. Total construction spending has now increased on a year-over-year basis for the 55th consecutive month. Spending on both residential and non-residential projects increased from November, climbing 1.4% and 0.4%, respectively. This was the third consecutive monthly increase for spending on residential projects; this follows declines in two of the three months during Q3. Residential projects accounted for 44.0% of the total spend in December, its highest percentage since August.