Construction Spending Rises in November

Builders increased spending on construction projects in November at the fastest pace since March, although they held single-family housing outlays in check for a third-straight month, according to a government report. However, there have been signs recently that spending on single-family homes might be increasing. For instance, housing starts rebounded in November after two consecutive monthly declines. And new home sales shot up 14.2%. The Commerce Department reported that overall spending on residential, nonresidential and government projects shot up 1.9% in November to $592 billion. It was the third-straight increase and the biggest since a 2.3% gain in March. Growth in the gross domestic product--the total output of goods and services within the U.S.--slowed to 2.1% in the July-September quarter, from 4.7% three months earlier.