U.S. construction spending is predicted to be on the rise, according to one leading indicator. The Dodge Momentum Index from Dodge Data & Analytics showed the October reading up nearly 7% from the revised September index. The index measures the initial report of nonresidential building projects, which has led to show construction spending by a ...

Despite a dip in year-over-year (YOY) September nonresidential construction spending, Associated Builders and Contractors (ABC) economists said public construction remains strong, particularly in water supply, sewage and waste disposal. Contractors might have expressed concerns over the nearly 1% decline in YOY spending; however, nonresidential spe...

The Credit Managers' Index (CMI) from NACM rebounded in October as credit managers reported better conditions in several factors across the board. However, the overall, combined improvement is not without its caveats. The combined CMI score improved half a point to 54.6. "Like much of the recent economic data, there are signs of concern showing up ...

New home sales were down slightly in September from the revised August rate. According to the Census Bureau and Department of Housing and Urban Development, new single-family home sales declined 0.7% in September, yet the seasonally adjusted annual rate of 701,000 is 15.5% higher than a year ago. The modest setback still did not stop it from being ...

As one of the industries slowly adopting technology, the construction sector is learning what does and does not work, the former being project management solutions. For contractors, many factors must be considered when selecting this software, specifically, coordination between contractors and project owners. In September, Dodge Data & Analytic...

U.S. housing starts are heading down a treacherous road as are housing completions and building permits. The latest data from the Census Bureau and Department of Housing and Urban Development shows housing starts in September were down 9.4%. However, the seasonally adjusted annual rate is 1.6% above the September 2018 rate. Homebuilding was at a mo...

The Dodge Momentum Index took a step forward in September mostly due to the commercial aspect. The Index, published by Dodge Data & Analytics, measures the initial report of nonresidential building during the planning stage, which can lead to spending by a full year. The commercial component improved nearly 9% in September to push the overall i...

U.S. construction spending is on the rise; however, it is public construction spending leading the way. According to the Census Bureau, total spending increased 0.1% in August, but the data is 1.9% behind the figure from August 2018. The latest announcement from earlier this week states construction spending during the first eight months of 2019 is...

NACM's Credit Managers' Index (CMI) faltered a bit in September after a robust showing the previous month. "That gain was short-lived as this month there was a bit of a decline. The data is still pretty firmly in the expansion zone, but not as robustly as was the case earlier," said NACM Economist Chris Kuehl, Ph.D. The combined CMI slipped from 55...

Late payments are improving across Australia, albeit at a minuscule pace. According to illion's Trade Late Payments Report for the June 2019 quarter released earlier this week, late payments improved from 11 days to 10 days year-over-year, "reflecting improved trading conditions and pressure from the government to cut payment times," states a relea...

Short Items of Interest—U.S. EconomyGrowth of 3% This Year? No Way It is dangerous for political leaders to predict what is going to happen in the economy, but for a variety of reasons, they persist. It is expected of them to do so, but in the end, they are nearly always wrong. Trump has been asserting that his policies would bring growth of at lea...

Credit risk assessment in the U.S. automotive sector is stable. According to the latest Market Monitor from credit insurer Atradius, the sector is also facing high risks in financial conditions. The sector has a "fair" outlook due in part to tariffs and lower demand taking their toll on the credit risk outlook, which has worsened. The average payme...

Late payments are an issue around the globe in small, medium and large businesses. According to Australasia data and analytics provider illion, late payments in New Zealand are increasing, yet that was expected due to seasonality. The most recent late payments report for the island nation shows nearly a quarter of businesses were paying invoices la...

NACM's Credit Managers' index is back on track after a hiccup in July. The combined CMI returned to levels seen earlier this year with a 1.8-point climb to 55.2 in August. Much of the improvement was seen in the favorable factors, which increased more than three points to 61.8."It looks more and more like July was an outlier in terms of the CMI dat...

New U.S. single-family home sales are on the decline as is the median home price. The latest release from the Census Bureau and the Department of Housing and Urban Development shows sales of new single-family homes slipped nearly 13% in July from June's revised rate. However, sales are up more than 4% from July 2018. The median sales price dipped j...

By Chris Kuehl, Ph.D., NACM EconomistShort Items of Interest—U.S. EconomyHawks and Doves at the FedThe latest Fed minutes confirm what had already been concluded. There is far from unanimity on the subject of interest rate cuts at the Fed. Two of the members of the Open Market committee dissented from the decision to make the quarter point cut (Est...

By Chris Kuehl, Ph.D., NACM EconomistShort Items of Interest—U.S. EconomyMarket ReactionsAll sorts of issues are affecting the markets as the week begins. The rally last week was due to the latest veer in the Trump tariff policy. The investing community has started to take the threats of more and more tariff activity as "all bark and no bite." The ...

Access to financing is hurting businesses within the Gulf Cooperation Council (GCC). According to credit insurer Coface, financial conditions across the GCC are tighter now than before 2015, and bank credit conditions are forcing companies to look elsewhere for financing. Bank credit conditions in the Middle East and North Africa tightened during t...

The Dodge Momentum Index continues to decline after peaking in July 2018. The Index, released earlier this week by Dodge Data & Analytics, slipped 4.6% in July from the revised June reading. The index measures the first report of nonresidential building projects in the planning phase, resulting in an indication of nonresidential spending for a ...

Construction spending is on the decline in the U.S. Construction spending dropped 1.3% in June to a seasonally adjusted annual rate of $1.287 trillion, according to a release from the Census Bureau earlier this week. June's data is also 2.1% below the June 2018 estimate.A decrease in public works projects and wet weather are the likely culprits beh...