US: Construction spending gets off to a strong start - Wells Fargo

Analysts at Wells Fargo point out outlays for commercial projects and highway & road work lead the way and boosted spending to the largest monthly increase in nine months. 

Key Quotes: 

“Milder than usual weather appears to have boosted construction activity in January, particularly in highway & road projects. 

“Milder weather also likely boosted commercial building in January. Outlays for commercial projects are still trending higher, however, led by gains in office and hotel projects. 

“Warmer weather did not help homebuilders. Outlays for private residential construction fell 0.3% in January and outlays for single-family homes tumbled 0.7%. Multifamily construction rose 1.4% during the month and is up 12.8% year-over-year.”