MNI DATA ANALYSIS: US October Construction -0.1%>

--Private Residential Spending -0.5%; Nonresidential -0.3%

--Public Construction Spending +0.8%

By Shikha Dave and Harrison Clarke

     WASHINGTON (MNI) - Construction spending was down 0.1% in October, 

below the 0.4% gain expected, as private residential and nonresidential 

construction both saw declines. Nonresidential fell by 0.3% compared to 

a residential construction decrease of 0.5%, data released by the 

Commerce Department Monday morning showed. 

     Analysts surveyed by MNI had expected total construction spending 

to rise by 0.4% after a flat reading in September. September was revised 

down to a 0.1% decline, while August was revised down to a 0.4% decline 

and July was unrevised at a 0.2% gain.   

--PRIVATE BUILDING FALLS    

     Private residential construction fell by 0.5% in the month, 

following a 0.1% gain in September. Home building ex. new homes, also 

known as remodeling, saw a 0.9% decrease, according to an MNI 

calculation. 

     Also based on an MNI calculation, total new homes fell by 0.3%. 

Single-family building was fell 0.5%, and multi-family building posted 

a 1.0% increase. 

     In addition to the decrease in private residential, private 

nonresidential construction fell by 0.3% in October, driving the 

decrease in total private construction. The main drivers of the category 

were decreases in power (-2.4%), manufacturing (-1.0%), and amusement 

and recreation (-1.6%). 

--PUBLIC CONSTRUCTION RISES

     Following a downward September revision to a 1.5% decrease from a 

0.9% decline, public construction spending rose by 0.8% in October. 

     The gain in public construction was driven by a 9.5% gain in 

commercial, a 5.4% gain in offices, and 3.6% gain in public safety. This 

was partially offset by a 8.6% decline in conservation and development, 

and a 1.1% decrease in transportation. 

     State and local construction was up 0.5% in the month. Federal 

construction was up 3.7%. 

     ** MNI Washington Bureau: 202-371-2121 ** 

[TOPICS: MAUDS$,M$U$$$,MAUDR$,MT$$$$]