U.S. construction spending drops 2.9% in April
Spending for U.S. construction projects dropped a smaller than expected 2.9% in April, the Commerce Department said Monday. Analysts polled by MarketWatch had forecast a 6.8% plunge due to the coronavirus pandemic. Residential construction sank 4.5% in April, but spending on construction projects outside the housing sector fell a much smaller 1.8%. Yet economists still expect construction spending to weaken since so many projects were planned before COVID-19 devastated the economy. Outlays are likely to soften further in May and June, they predict.
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