US construction spending rebounds in March

The U.S. construction spending registered a small rebound in March, as residential constructions regained steam after the chilly weather ended, the Commerce Department said Thursday. Total construction spending rose 0.2 percent in March after falling 0.2 percent in February. It put the total spending to a seasonally adjusted annual rate of about 942.5 billion U.S. dollars in March, 8.4 percent higher than the year-ago estimate. Spending on private construction was at a seasonally adjusted annual rate of 679.5 billion dollars, 12.5 percent above the revised level of February. Residential construction rose 16 percent, while non-residential construction increase 8.6 percent on a month-over-month basis. The estimated seasonally adjusted annual rate of public construction spending was 263 billion dollars in March, down 0.8 percent from the previous month. Despite of the small rebound, the recovery of the housing sector remains uncertain. Sales of existing, new and pending homes were lukewarm at best in March, as rising prices and mortgage rates held back purchases.