U.S. construction spending dipped again in July, pulled down by weak investment in private nonresidential and multifamily projects amid high mortgage rates and elevated material costs.
The Commerce Department’s Census Bureau said on Tuesday that total construction outlays slipped by 0.1 percent to a seasonally adjusted annual rate of $2.14 trillion, following a revised 0.4 percent drop in June. Compared with a year earlier, spending was down by 2.8 percent in July.
Private nonresidential construction was a major drag. Investment in structures such as offices and factories fell by 0.5 percent from June, with several biggest categories posting declines. Manufacturing and private power projects each slipped by 0.7 percent, commercial construction fell by 0.9 percent, and office projects edged down by 0.2 percent….