Construction Spending Jumps to Highest Level in Three Years

Construction spending rose 1.4% in October to the highest level in three years, the Commerce Department said Monday.

The increase brought outlays up to $872.1 billion, the most since September 2009, and followed a revised 0.5% decrease in September, that was smaller than previously estimated, Commerce said.

Economists had forecast a 0.5% increase, Bloomberg reported.

Private construction spending increased 1.6%, while homebuilding outlays rose 3% to 294.2 billion.

Public construction increased 0.8% from the prior month.

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