Construction Spending Grows at Fastest Rate Since July 2012

The value of construction put in place in February 2015 was $65,286 (millions of real dollars). Compared with one year ago, spending in February was up 11.0%. The month-over-month rate of growth has accelerated in five of the last six months. And, this was the fastest rate of growth since July 2012. The annual rate of change, which was at 4.5%, grew faster for the first time June 2014. The recent trend in 10-year treasury rates indicates that construction spending should accelerating growth in the upcoming months. 

Real construction spending is a good leading indicator for construction materials, hardware, and HVAC industrial production.