Associated Builders and Contractors reports today that its Construction Backlog Indicator declined 0.2 months to 9.0 in January, according to an ABC member survey conducted Jan. 20 to Feb. 3. The reading is 1.0 month higher than in January 2022.
View ABC’s Construction Backlog Indicator and Construction Confidence Index tables for January. View the historical Construction Backlog Indicator and Construction Confidence Index data series.
Despite the decline in January, backlog remains elevated by historical standards and is 0.1 months higher than in February 2020, the month before the COVID-19 pandemic began to impact the economy.
ABC’s Construction Confidence Index reading for sales, profit margins and staffing levels increased in January. All three readings remain above the threshold of 50, indicating expectations of growth over the next six months.
“Despite extremely elevated borrowing costs, worker shortages and a generally downcast economic outlook, contractor confidence rebounded in January to a level not seen since the first half of 2022,” said ABC Chief Economist Anirban Basu. “Given the recent employment report, the U.S. economy continues to fend off recession. Some economists have concluded that rather than a hard or soft landing, the U.S. economy is headed for ‘no landing,’ meaning that economic growth will continue despite rising interest rates.
“However, the incredibly strong January jobs report makes it more likely that the Federal Reserve will maintain higher borrowing costs for a longer period,” said Basu. “Eventually, that could cause the economic expansion to unravel, perhaps later this year. That could set the stage for diminished backlog and less confidence for contractors that specialize in privately financed projects as 2024 approaches.”
Related Stories
| Aug 11, 2010
Nation's first set of green building model codes and standards announced
The International Code Council (ICC), the American Society of Heating, Refrigerating and Air Conditioning Engineers (ASHRAE), the U.S. Green Building Council (USGBC), and the Illuminating Engineering Society of North America (IES) announce the launch of the International Green Construction Code (IGCC), representing the merger of two national efforts to develop adoptable and enforceable green building codes.
| Aug 11, 2010
More construction firms likely to perform stimulus-funded work in 2010 as funding expands beyond transportation programs
Stimulus funded infrastructure projects are saving and creating more direct construction jobs than initially estimated, according to a new analysis of federal data released today by the Associated General Contractors of America. The analysis also found that more contractors are likely to perform stimulus funded work this year as work starts on many of the non-transportation projects funded in the initial package.
| Aug 11, 2010
Broadway-style theater headed to Kentucky
One of Kentucky's largest performing arts venues should open in 2011—that's when construction is expected to wrap up on Eastern Kentucky University's Business & Technology Center for Performing Arts. The 93,000-sf Broadway-caliber theater will seat 2,000 audience members and have a 60×24-foot stage proscenium and a fly loft.
| Aug 11, 2010
Citizenship building in Texas targets LEED Silver
The Department of Homeland Security's new U.S. Citizenship and Immigration Services facility in Irving, Texas, was designed by 4240 Architecture and developed by JDL Castle Corporation. The focal point of the two-story, 56,000-sf building is the double-height, glass-walled Ceremony Room where new citizens take the oath.
| Aug 11, 2010
Carpenters' union helping build its own headquarters
The New England Regional Council of Carpenters headquarters in Dorchester, Mass., is taking shape within a 1940s industrial building. The Building Team of ADD Inc., RDK Engineers, Suffolk Construction, and the carpenters' Joint Apprenticeship Training Committee, is giving the old facility a modern makeover by converting the existing two-story structure into a three-story, 75,000-sf, LEED-certif...
| Aug 11, 2010
Wisconsin becomes the first state to require BIM on public projects
As of July 1, the Wisconsin Division of State Facilities will require all state projects with a total budget of $5 million or more and all new construction with a budget of $2.5 million or more to have their designs begin with a Building Information Model. The new guidelines and standards require A/E services in a design-bid-build project delivery format to use BIM and 3D software from initial ...
| Aug 11, 2010
News Briefs: GBCI begins testing for new LEED professional credentials... Architects rank durability over 'green' in product attributes... ABI falls slightly in April, but shows market improvement
News Briefs: GBCI begins testing for new LEED professional credentials... Architects rank durability over 'green' in product attributes... ABI falls slightly in April, but shows market improvement
