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August 4, 2026

Data centers mask broader slowdown as June construction spending stalls

  • Nonresidential construction rose in June, while overall construction spending was down for the month.
    • By JOURNAL STAFF

    A continued surge in data center construction helped prop up U.S. nonresidential construction spending in June, but new industry analyses suggest weakness is spreading across much of the broader construction market as private-sector demand softens.

    According to an analysis released Monday by the Associated Builders and Contractors (ABC), national nonresidential construction spending increased 0.1% in June to a seasonally adjusted annual rate of $1.277 trillion. However, a separate analysis from the Associated General Contractors of America (AGC) found overall U.S. construction spending, including residential and public projects, slipped 0.1% from May and was 3.2% lower than a year earlier, totaling $2.167 trillion on a seasonally adjusted annual basis.


     
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