U.S. Construction Spending Unexpectedly Edges Up 0.1% In December

(RTTNews) - Construction spending in the U.S. showed a slight increase in the month of December, according to a report released by the Commerce Department on Monday, with an increase in spending on private construction more than offsetting a drop in spending on public construction.

The report said construction spending inched up by 0.1 percent to an annual rate of $930.5 billion in December from the revised November estimate of $929.9 billion. Economists had expected spending to come in unchanged compared to the previous month.

The Commerce Department noted that the latest figure is 5.3 percent above the $883.6 billion estimate for December of 2012.

The modest increase in construction spending came as spending on private construction rose 1.0 percent to an annual rate of $663.9 billion in December.

Spending on residential construction jumped 2.6 percent, more than offsetting a 0.7 percent decrease in spending non-residential construction.

Meanwhile, the report said spending on public construction dropped 2.3 percent to an annual rate of $266.6 billion in December.

The report said spending on state and local construction tumbled by 2.7 percent, while spending on federal construction rose by 2.0 percent.

The Commerce Department also said the value of construction in 2013 was $898.4 billion, 4.8 percent above the $857.0 billion spent in 2012.