McGraw-Hill Construction Debuts Dodge Momentum Index

McGraw-Hill Construction of New York today launched the

The predictive accuracy of the index is derived from the source of data that feeds it: the Dodge database of first-issued construction planning reports. One-third of projects in the Dodge database are in the planning stage--the projects that feed the new Dodge Momentum Index.

“The strength of the new Dodge Momentum Index is that it’s based on proprietary planning data from Dodge’s national network of reporters,” says Kate Cassino, vice president of product development for McGraw-Hill Construction. “These are individual, real-life projects, many of which will become construction starts down the road and generate construction spending dollars.”

Since reaching bottom in July 2011 at a level of 77.1 (2000=100), the index has trended up in all but two months. In April 2012, the Dodge Momentum Index climbed 1.0 points from the previous month to reach a level of 94.7.

“The relatively steady movement upward since the middle of last year suggests that construction spending put in place for nonresidential buildings should begin to move in a more consistently positive direction during the second half of 2012,” says Robert Murray, vice president of economic affairs for McGraw-Hill Construction. “This is good news for an industry that has been strongly hit by declines since the 2009 recession.”