Construction spending rose in June, as companies and the government increased projects across the U.S.
Spending on construction projects rose 0.5% in June to $1.94 trillion, the Commerce Department reported Tuesday.
The figure fell short of expectations on Wall Street. Economists were expecting construction spending to rise 0.9% in June.
Construction spending reveals how much the government and private companies spend on projects, from housing to highways. The more the U.S. spends on construction, the higher the level of economic activity.
The government revised spending on construction in May to 1.1% from an initial read of a 0.9% increase.
Over the past year, construction spending is up 3.5%.
In terms of residential real-estate, private residential construction rose 0.5% in June from the month before. Single-family construction rose 2.1% in June, while multifamily rose by 1.5%.
Spending on public residential construction rose by 0.3%. The U.S. decreased spending on public residential construction by 0.2%.
U.S. stocks
DJIA,
SPX,
were mixed in early trading on Tuesday. The 10-year Treasury note
TMUBMUSD10Y,
rose above 4%.
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