Dodge Gains Momentum

McGraw-HillOctober 7, 2013 – Can anything stop the momentum? Maybe. But for now, we are able to report that the Dodge Momentum Index advanced 2.9 percent in September to according to McGraw Hill Construction, a division of McGraw Hill Financial. The Momentum Index is a monthly measure of the first (or initial) report for nonresidential building projects in planning, which have been shown to lead construction spending for nonresidential buildings by a full year. After a brief pause in June 2013, the Momentum Index resumed its upward trend in the most recent three months. Since the end of 2012, the Momentum Index has risen an impressive 31 percent, and in September it reached its highest level since the first quarter of 2009. This acceleration suggests that, prior to the government shutdown, owners and developers viewed the environment for construction as improving.