US construction spending collapses in Q2

By: Curtis Wayne   8/4/2017

US construction spending weakest in six years.  This will likely results in revising Q2 GDP down from its first printed number of 2.6%.   

The weakness is from major drop in Federal government construction spending, crashing 9.5%, and local government construction spending dropping 5.4% in June alone.  

And this is a period of time when local and state taxes rates have been going up and up over the last ten years.   But the economy is just not being in the money that the governments were hoping for because the economy is weak and getting weaker.    

The Commerce Department said on Tuesday that construction spending tumbled 1.3 percent to $1.21 trillion - the lowest level since September 2016 - drastically missing economists' estimates of a 0.4% increase.”

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