June 2022 P.I.P Spending – U.S. Census Bureau

Looking at the June 2022 Put-in-Place construction spending provided by the United States Census Bureau we see that total construction spending has fallen from last month down -1.1%. This is worrying because from June 2021 construction P.I.P. has grown +8.3%. While that may sound optimistic, inflation has been +8.5%. That means from June 2021 to July 2022 real P.I.P. value has fallen -0.2%.

In the private sector we see the largest breakdowns this month from the residential single-family market, down -3.1%. Overall private residential construction spending is down -3.1% from last month. This breakdown in spending is followed by the private power sector which has seen a -1.8% decrease in spending. We do see small growth in the private construction sector, up +1% from last month. On average we have seen a decline from almost every sector, last month appears to be peak spending.

Looking at the public sector we see a similar decline from last month, down -0.5%. However, the decline is not as across the board as it has been in the private sector. For example, healthcare, education, and water supply infrastructure have all seen large increases in spending at +2.4%, +1.7%, and +7.4% respectively. On the other hand, commercial spending has seen a -1.8% drop from last month.