Share
August 1, 2014 10:50 AM, EDT
Construction Spending Drops 1.8%
Patrick J. Fallon/Bloomberg News

Construction spending declined 1.8% in July, the biggest downturn in more than three years, the Commerce Department reported Aug. 1.

The decline followed a revised 0.8% gain in May that was higher than an originally reported 0.1% increase.

The decline was the biggest since a 2.8% drop in January 2011.

Private construction spending fell 1%, with private residential construction down 0.3% and private nonresidential construction dropping 1.6%.

Public construction fell 4%, the biggest decline since March 2002. Federal construction rose 10.4%, but state and local construction declined 5.2%.

Construction spending can boost demand for trucking services because spending increases the number of shipments of goods and building materials.