MNI DATA ANALYSIS: US September Construction Flat%>

--Private Residential Spending +0.6%; Nonresidential +0.1%

--Public Construction Spending -0.9%

By Shikha Dave and Harrison Clarke

     WASHINGTON (MNI) - Construction spending was flat in September, 

below the 0.1% gain expected, as residential and nonresidential 

construction saw gains. Nonresidential rose by 0.1% compared to a 

residential construction increase of 0.6%, data released by the Commerce 

Department Thursday morning showed. 

     Analysts surveyed by MNI had expected total construction spending 

to rise by 0.1% after a gain of 0.1% in August. August was revised up to 

0.8%, while July was unrevised at 0.2% and June was unrevised at -0.7%.   

--PRIVATE BUILDING RISES    

     Private residential construction rose by 0.6% in the month, 

following a 0.4% decline in August. Home building ex. new homes, also 

known as remodeling, saw a 0.1% increase, according to an MNI 

calculation. 

     Also based on an MNI calculation, total new homes rose by 0.8%. 

Single-family building was down 0.8%, and multi-family building posted 

an 8.7% increase. 

     In addition to the increase in private residential, private 

nonresidential construction rose by 0.1% in September, driving the 

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

were increases in lodging (+3.7%), education (+3.2%), and health care 

(+1.6%). 

--PUBLIC CONSTRUCTION DECLINES

     Following an upward August revision to a 2.2% gain, public 

construction spending fell by 0.9% in September. 

     The decline in public construction was driven by a 10.7% fall in 

offices, a 7.0% fall in residential construction, and declines in 

most nonresidential categories. This was partially offset by a 6.2% gain 

in commercial and a 1.2% gain in education. 

     State and local construction fell 0.5% in the month. Federal 

construction was also down 6.8%. 

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

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