Another Leading Indicator Rises
Another leading indicator of U.S. commercial construction spending rose in July, as recently reported by the architects' trade group.
The American Institute of Architects (AIA) said The Architecture Billings Index was up 1.9 points last month to 47.9. A reading above 50 indicates expansion, so we are getting close.
The weak economy and high unemployment have meant less need to design and build stores and office buildings. Most industrial companies receive a good portion of their revenue from the commercial sector, selling machinery used in construction or the components of a building, such as elevators, electrical and lighting (think LED) systems, heating and cooling and alarm systems.
I spend a good bit of time driving on stretches of I-77, I-26 and I-20 in the Columbia area and tractor trailer traffic is heavy. Commerce is taking place.
Terry Edwards tedwards@sc.rr.com
Comments(0)