Dodge Construction’s Momentum Index Declines in December

Commercial and institutional planning end the year on a down note, but full-year measures show strong performance. The Dodge Momentum Index fell 3% in December to 166.4 (2000=100), down from the revised November reading of 170.7. The Momentum Index, issued by Dodge Construction Network, is a monthly measure of the initial report for nonresidential building projects in planning, which have been shown to lead construction spending for nonresidential buildings by a full year. In December, commercial planning fell 4%, and institutional planning slipped 1%. Despite these declines, 2021 was a banner year for the Momentum Index, despite lingering risks of COVID-19 and low demand for some types of nonresidential buildings. Through the year, the overall Momentum Index increased 23%, the strongest annual gain since 2005. The commercial and institutional components of the Momentum Index saw similar gains, with their levels of activity reaching 13- and 14-year highs, respectively. READ FULL ARTICLE>>