US Construction Spending Declines -2.8% YoY in July, Signaling Recession Risk

The sharp decline marks the sixth consecutive monthly drop, raising concerns about an economic downturn as construction activity slows sharply.

Summary

US construction spending fell by 2.8% year-over-year in July, marking one of the largest declines since the 2008 Financial Crisis. This marks the sixth consecutive month of decline, with month-over-month spending declining in 10 of the last 12 months, further signaling potential recession risks.

Terms & Concepts
  • Construction Spending: A key economic indicator that tracks the total expenditure on construction activities, reflecting the health of the economy, particularly in the housing and infrastructure sectors.