FX.co ★ US Construction Spending Falls Slightly More than Expected

In May 2025, construction spending in the United States experienced a decline of 0.3% compared to the previous month, reaching a seasonally adjusted annual rate of $2,138 billion. This marks the third consecutive month of decreasing figures. The decline follows a revised 0.2% drop in April and exceeded the anticipated 0.2% decrease, mainly due to a 0.5% reduction in private sector investment. Within the residential domain, spending fell by 0.5%, primarily driven by a notable 1.8% reduction in new single-family home construction. Concurrently, the nonresidential sector contracted by 0.4%. However, public spending saw a slight uptick of 0.1%, solely attributed to a 1.4% rise in the residential sector. On an annual basis, there was a 3.5% decrease in construction spending in May.