AGC: Construction spending falls to lowest level in seven years

Construction spending in January fell by $5.5 billion to $884 billion, its lowest level since June 2003, according to an analysis of new federal figures by the Associated General Contractors of America. Declining investments in private-sector nonresidential construction and public construction at all levels of government drove the 0.6 percent decline, the association's chief economist Ken Simonson noted.

"What's clear from this data is that the downturn in nonresidential construction spending is far from over," Simonson said. "Federal funding for construction is one of the few crutches propping up a deeply wounded construction industry," according to a March 1 AGC of America release.

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