US construction spending for the month of September -1.9% versus 0.3% estimate

Prior month +0.9% revised to +2.0%.Details from the Census DepartmentTotal construction spending: −1.9% MoM, at a seasonally adjusted annual rate of $2,186.1 billion, versus August’s revised $2,227.4 billion.Prior month revised higher to 2.0% from +0.9%.  Year-over-year spending: −2.7%.January–September spending: −2.9% versus the same period in 2025.September components compared with August, in seasonally adjusted annual rates:Private construction: $1,639.3 billion vs $1,680.3 billion; −2.4% MoM.Private residential: $848.8 billion vs $898.0 billion; −5.5%.Private nonresidential: $790.6 billion vs $782.3 billion; +1.1%.Public construction: $546.8 billion vs $547.1 billion; −0.1%.Public education: $113.1 billion vs $113.1 billion; virtually unchanged.Public highways: $149.2 billion vs $149.7 billion; −0.3%.US construction spending fell 1.9% in September, according to the Census Bureau’s construction spending report.

The weakness was concentrated in private residential construction, where spending dropped 5.5%.

That decline more than offset a 1.1% increase in private nonresidential spending.Public construction was little changed, leaving the private sector responsible for nearly all the overall decline.

The broader picture also remains soft: spending was down 2.7% from September 2025, while spending through the first nine months of 2026 was 2.9% below the comparable period last year.Quick analysis: The residential decline is the weak spot.

It points to a softer construction contribution to growth, although the increase in private nonresidential spending provides an offset.

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