US construction spending fell for a sixth straight month during May to its lowest in more than a decade, according to a Commerce Department report on Friday that underlined the soft pace of activity in building trades that normally are major employers.
Spending on new construction fell 0.6 percent after a matching revised 0.6 percent April drop that previously was reported as a 0.4 percent increase. Economists surveyed by Reuters had forecast May construction spending would be flat. Total May spending was at a seasonally adjusted annual rate of $753.48 billion, the lowest rate since $751.4 billion in September 1999, the department said.
Spending on both public and private building projects weakened in May. Overall private construction fell 0.4 percent and, within that category, spending on new homes and apartment buildings fell 2.1 percent. Public construction spending for projects like improved highways and streets, new schools and transportation projects declined 0.8 percent in May after a 2.4 percent April fall.