Economy

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    Inflation cools, reassuring Fed after unexpectedly hot gains

    The yield on the benchmark 10-year Treasury note fell on investor speculation that slower inflation will prompt the Fed to sooner cut borrowing costs.

    By Jim Tyson • May 16, 2024
  • A person wearing white gloves rubs a white compound in their hands. beneath them is a box of the stuff.
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    Courtesy of Meta
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    5 contech firms announce funding in 2024’s first half

    Drone-powered roof inspections, cloud-based estimating solutions and fungi-fueled recycling tech earned venture capital in recent months.

    By • May 15, 2024
  • Construction site Explore the Trendline➔
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    sandsun via Getty Images
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    Trendline

    Top 5 stories from Construction Dive

    Construction Dive editors curate some of the industry’s top stories from this year.

    By Construction Dive staff
  • The 165-foot wide crossing, scheduled to be completed in 2026, will blend into the surroundings and allow wildlife to roam above the busy freeway where up to 300,000 vehicles pass daily.
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    Mario Tama/Getty Images via Getty Images
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    Economic Reports

    As backlog rises, so does contractors’ confidence

    New work increased 2.4% last month, but only time will tell if construction optimism is justified in the face of fresh headwinds, said ABC’s chief economist.

    By • May 15, 2024
  • Kicking off the company's construction of a planned 218-mile high-speed rail line connecting Las Vegas and Southern California, Brightline's all-electric, zero-emission trains will travel at a top speed of 200 mph.
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    Ethan Miller/Getty Images via Getty Images
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    Economic Reports

    Construction input prices jump again, continue 2024’s upward climb

    A new ABC report points to yet another sign that inflation is accelerating and that interest rates are set to stay higher for longer.

    By • May 15, 2024
  • Detroit, Michigan, USA downtown skyline from above at dusk.
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    Sean Pavone via Getty Images
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    Deep Dive

    Contractors, owners wait out high interest rates

    As long as the Fed doesn't raise already elevated rates, a steady environment could jump-start stalled projects.

    By • May 14, 2024
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    Courtesy of City of Detroit
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    Abandonments tick down, but more builds are being mothballed

    For public projects specifically, the abandonment reading is now lower than at any time since late January, according to ConstructConnect data.

    By • May 10, 2024
  • aerial shot of Meta's new data center in Rosemount, Minnesota.
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    Courtesy of Meta
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    Economic Reports

    Data centers boom again, boost construction planning

    A flood of these megprojects entered the planning queue, reversing a two-month streak of contraction, according to the Dodge Construction Network.

    By • May 8, 2024
  • A statue of a bull stands in New York's financial district.
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    Chris Hondros via Getty Images
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    Data centers are next target for MasTec, CEO says

    While the specialty energy contractor reported a loss for its latest quarter, CEO José Mas said it will bid on $1 billion worth of work for the computing facilities going forward.

    By • May 8, 2024
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    kali9 via Getty Images
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    Economic Reports

    Open construction jobs plunge 40%, but economists question data

    The massive drop may be a statistical anomaly due to construction's scheduling and hiring patterns.

    By • May 2, 2024
  • Las Vegas Breaks Ground On New Brightline West High-Speed Rail Project
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    Ethan Miller/Getty Images via Getty Images
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    Economic Reports

    Public sector lifts nonresidential construction spending as private projects lag

    While the two sides of the industry are going in opposite directions, overall nonresidential outlays have outpaced inflation since the start of the pandemic, an economist said.

    By • May 1, 2024
  • The $1.3 billion Rady Children’s Hospital Intensive Care Unit in San Diego, California.
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    Courtesy of Rady Children’s Hospital-San Diego
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    Construction starts dip for second straight month

    High rates, inflation and restrictive credit suppressed building activity in March, according to Dodge Construction Network.

    By • April 29, 2024
  • Wood-framed apartment complex under construction
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    Maudib via Getty Images
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    Apartment starts fall more than 43%

    Completions rose 4.6% as developers added more than 500,000 units in March.

    By Leslie Shaver • April 25, 2024
  • Cemex concrete plant in Rudersdorf, Germany
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    Sean Gallup via Getty Images
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    Contech investment up 20% in Q1

    Investors pumped $672 million into the space through March, a significant jump from the same period in 2023, according to Cemex Ventures.

    By • April 17, 2024
  • A worker peers out from a worksite in lower Manhattan
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    Spencer Platt/Getty Images via Getty Images
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    Economic Reports

    Construction backlog posts first gain of 2024

    Given industry headwinds, the “optimism among nonresidential construction contractors is astonishing,” said Anirban Basu, Associated Builders and Contractors chief economist.

    By • April 16, 2024
  • Construction workers listen to a speech from US President Joe Biden at Intel Ocotillo Campus on March 20, 2024 in Chandler, Arizona.
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    Rebecca Noble via Getty Images
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    Economic Reports

    Construction planning posts largest decline of 2024

    Institutional developments, which include life sciences and lab projects that surged during the pandemic, have now slowed down, according to Dodge Construction Network.

    By • April 10, 2024
  • CRG Completes 77-Acre Industrial Land Sale at The Cubes at West Port Near Savannah, Ga.
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    Courtesy of CRG
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    After pandemic boom, industrial construction starts fade

    Project kickoffs fell 40% last year, as a slew of COVID-era warehouse and distribution projects have outpaced demand.

    By • April 9, 2024
  • Rendering of CityView Plaza in San Jose, California.
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    Courtesy of Jay Paul Co.
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    Economic Reports

    Project abandonments spike

    Outright cancellations increased 7% over the past month, fueled by publicly funded projects, according to ConstructConnect.

    By • April 3, 2024
  • An overhead view of two people in construction gear looking over plans on a table.
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    AzmanJaka via Getty Images
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    Economic Reports

    Job openings inch up as layoffs, hirings soar

    Construction sectors powered by federal funds have high demands for labor, but private segments face slower growth, according to an Associated Builders and Contractors economist.

    By • April 3, 2024
  • In an aerial view, the groundwork for apartments is seen undergoing construction on March 19, 2024 in Austin, Texas
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    Brandon Bell/Getty Images via Getty Images
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    Economic Reports

    Construction spending slips due to weather, interest rates

    Monthly spending was down in 15 of 16 nonresidential categories, but on an annual basis, all sectors are still positive.

    By • April 2, 2024
  • A series of tall office buildings.
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    franckreporter via Getty Images
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    Office real estate value likely to plunge 26% through 2025: Moody’s

    An above-average amount of commercial real estate debt will soon mature and property owners will need to refinance at the highest rates in years, Moody’s said.

    By Jim Tyson • March 25, 2024
  • A construction worker welds rebar
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    Panupong Piewkleng via Getty Images
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    Economic Reports

    Construction starts plunge 8% as Fed toes line on rates

    January’s manufacturing gains were wiped away as the prolonged impact of higher interest rates and labor issues caught up with the sector.

    By • March 21, 2024
  • In an aerial view, construction continues around the retired NASA Space Shuttle Endeavour at the California Science Center on February 14, 2024 in Los Angeles.
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    Mario Tama/Getty Images via Getty Images
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    Economic Reports

    Input price surge signals bumpy road ahead

    “There is reason to believe that inflation will remain stubbornly high for months to come,” said ABC’s chief economist.

    By • March 15, 2024
  • Aerial view of London
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    Tom Shaw via Getty Images
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    Balfour Beatty’s 2023 profits dip on investments

    CEO Leo Quinn nonetheless predicted growth in coming years as the London-based contractor capitalizes on shifts in the U.S. market.

    By • March 14, 2024
  • Construction workers help build a mixed-use apartment complex which will hold over 700 units of apartment housing and 95,000 square feet of commercial space on January 25, 2024 in Los Angeles
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    Mario Tama/Getty Images via Getty Images
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    Economic Reports

    Inflation, interest rates contribute to backlog dip

    Higher borrowing costs may stick around for longer than anticipated, which could upset economic momentum, said Anirban Basu, ABC chief economist.

    By • March 12, 2024
  • Construction workers help build a mixed-use apartment complex which will hold over 700 units of apartment housing and 95,000 square feet of commercial space on January 25, 2024 in Los Angeles, Califor
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    Mario Tama/Getty Images via Getty Images
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    Economic Reports

    Office sector drags down construction planning

    Nonresidential planning slowed as workers continue to log in from home, but most other categories showed growth, according to Dodge Construction Network.

    By • March 8, 2024