Investments in public projects in the U.S. increased in January and could boost economic growth in the first quarter. Investment in public construction increased by 4.9 percent in January, reaching its highest level since September 2010. This is the largest percentage increase since March 2004.
Spending Increases Across The Board
Investment in federal government construction projects also increased. It rose by 4.2 percent to the highest level since October 2017. State and local government construction spending grew by 4.9 percent.
Private construction project spending increased by 0.2 percent after declining for two months. The housing market has been affected by expensive building materials, higher mortgage rates, and labor shortages.
Increased Spending On Construction Has A Knock-On Effect
Increased spending on construction projects is good news for material suppliers. Basic materials such as cement, concrete, and steel are in demand and retail sales of glass, paint, and hardware increased.
Fasteners, such as rivets, are widely used when high strength and lightweight fastening are vital. Screws and nails may be more common solutions for household applications but rivets provide enhanced performance in challenging situations and in many specialized industrial settings.
Rivets are available in many different styles and sizes. They are easy to install and when the tail is flattened, it creates a permanent fastening, which is ideal for demanding environments. Rivets are able to stand up to high vibrations, waterproofing and much more which makes them ideal for use in areas where natural disasters are common.
If you are looking for a reliable source of rivets and other fasteners, rapidrivet.com is an industry-preferred rivet supplier. The company supplies all kinds of rivets in a variety of materials. For example, it supplies threaded inserts that can easily be installed when one side of a structure is accessible.
In building and construction, rivets are used in the installation of custom walls, gutters, hanger straps, windows, doors, fiberglass roofing, and window guards. They are especially suited to bind thin, soft materials and otherwise fragile connections.
In February 2019, construction industry leaders remained confident about non-residential construction prospects, according to the Construction Confidence Index.
Contractor confidence remains high, despite ongoing obstacles including growing gaps in hiring pools, which has made it difficult to deliver projects on time and on budget. Slower growth in material prices comparative to last year is likely to be encouraging some of the increased confidence.
Economy Off To A Good Start
Despite the fact that the global economy is slowing, labor shortages are growing, residential construction is soft, and the first quarter growth is fairly lackluster, the overall U.S. economy got off to a good start in 2019.
Economic growth is being fueled by factors such as a surprising growth in exports, state and local government spending, and personal consumption expenditure.
There seems to be enough momentum to carry the economy through the year and any fears of a near-term recession have been halted so far.
The Federal Reserve officials have indicated that interest rates won’t be raised again in 2019, which is good news when it comes to the demand for construction services.