by Calculated Risk on 9/02/2025 12:27:00 PM

From the Census Bureau reported that overall construction spending decreased:

Construction spending during July 2025 was estimated at a seasonally adjusted annual rate of $2,139.1 billion, 0.1 percent below the revised June estimate of $2,140.5 billion. The July figure is 2.8 percent below the July 2024 estimate of $2,200.7 billion
emphasis added

Private spending decreased and public spending increased:

Spending on private construction was at a seasonally adjusted annual rate of $1,623.3 billion, 0.2 percent below the revised June estimate of $1,626.3 billion. ...

In July, the estimated seasonally adjusted annual rate of public construction spending was $515.8 billion, 0.3 percent above the revised June estimate of $514.3 billion.

Click on graph for larger image.

This graph shows private residential and nonresidential construction spending, and public spending, since 1993. Note: nominal dollars, not inflation adjusted.

Private residential (red) spending is 9.4% below the peak in 2022.

Private non-residential (blue) spending is 6.9% below the peak in December 2023.

Public construction spending (orange) is at a new peak.

The second graph shows the year-over-year change in construction spending.

On a year-over-year basis, private residential construction spending is down 5.3%. Private non-residential spending is down 3.7% year-over-year. Public spending is up 3.4% year-over-year.

This was below consensus expectations; however, spending for the previous two months was revised up slightly.