Construction Spending Dips in February

Washington, DC, April 1, 2011 -- Construction spending declined in February to the lowest level in more than a decade, according to the Commerce Department.

The government said that construction spending fell for a third straight month, dropping 1.4%.

The weakness pushed total activity down to a seasonally adjusted annual rate of $760.6 billion, the smallest total since October 1999. That was below the previous recession low set in August.

Activity at the February level is about half the $1.5 trillion pace that economists believe would signal a healthy construction sector.