WASHINGTON (AP) – U.S. construction fell in March as an increase in nonresidential construction was offset by declines in home building and government projects.
Construction spending dropped 0.6 percent to a seasonally adjusted $966.6 billion in March after a flat reading in February, the Commerce Department reported Friday. Construction activity has fallen or shown no gain in four of the past five months, underscoring the economic toll from a severe winter.
For March, housing construction dropped 1.6 as both single-family construction and apartment building contracted. It was the biggest slide since last June. Spending on government projects fell 1.5 percent, the third straight decline.
The one good news in March was a 1 percent rise in nonresidential construction, with gains in hotels and office buildings.
Economists are forecasting a rebound in coming months as warmer weather boosts activity.