Contractors ended 2024 on a cautiously optimistic note as the latest construction data revealed resilience alongside persistent challenges.
The portfolio was flat at 8.4 months as contractors expressed some optimism about the outlook for private construction. The prospect of lower borrowing costs and clearer policy direction after the presidential election boosted confidence.
Startups also gained momentum to close out the year, with starts gaining 5% in December to an annualized rate of $1.2 trillion, according to the Dodge Construction Network. Public dollars continued to fuel infrastructure construction, especially roads and bridges.
This offset some of the pressures from high interest rates, labor shortages and lending conditions. Many economists expect new type cuts could unlock additional activity in 2025, although the Federal Reserve has indicated that slow down the pace of relaxation this year to balance inflation risks.
Meanwhile, the construction labor market showed signs of strain. Construction job openings in November remained 40% lower than a year earlier, showing continued hiring difficulties.
Here, Construction Dive collects the latest key industry data.
