Economy
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/images/Featured_News_Icons/construction2.png)
Dodge Momentum Index keeps rising in May
Written by Ethan Bernard
June 7, 2024
Interest rate stability and growing owner and developer confidence helped push the Dodge Momentum Index (DMI) higher in May.
The DMI registered 179.0 last month, 2.7% above the April reading of 174.3, Dodge Construction Network (DCN) reported on Friday. But this is 7% lower than year-ago levels.
The DMI tracks the value of nonresidential construction projects entering the planning stages. It typically leads construction spending by about 12 months.
“Owners and developers are gaining confidence in 2025 market conditions, alongside more stable and predictable interest rates – spurring stronger commercial activity over the month,” Sarah Martin, associate director of forecasting at Dodge, said in a statement.
The commercial building index was up 5.5% month over month in May, supported by data center planning, according to the network.
However, Martin said after last year’s growth, “institutional planning is decelerating, as high material costs, labor shortages, and elevated interest rates seep into planning decisions.”
Institutional building fell 3.4% in May from April, as healthcare and education planning activity slowed.
Still, Martin noted that the overall DMI remains 40% higher than May 2019 levels, which indicates a steady pipeline of construction projects will be ready to break ground through mid-2025.
A total of 19 projects valued at $100 million or more entered planning throughout the month of May, DCN said.
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/2024/06/DodgeMomentum_2024-0607_Fig1-1024x633.png)
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/2024/02/SMU_EB_headshot.png.jpg-150x150.png)
Ethan Bernard
Read more from Ethan BernardLatest in Economy
Metalformers expect steady conditions in coming months
Metalformers expect economic activity to stabilize over the next three months, according to the recently released July Business Conditions Report from the Precision Metalforming Association (PMA).
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/images/Featured_News_Icons/construction.png)
Architecture Billings Index rises from 4-year low in June
The Architecture Billings Index (ABI) ticked up in June following May’s four-year low, according to the American Institute of Architects (AIA) and Deltek. While the index improved this month, it continues to indicate weak business conditions among architecture firms.
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/2023/07/FedRes.png)
Beige Book: Uncertainty to continue fueling slower economic growth
Growth in the US economy continues to be constrained. The Federal Reserve’s Beige Book report for July shows more areas reporting flat or declining economic activity than in its previous report at the end of May.
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/images/Featured_News_Icons/AISI.png)
AISI, AISC, University of Massachusetts get ~$6.4M EPA grant
The American Iron and Steel Institute (AISI), American Institute of Steel Construction (AISC), and the University of Massachusetts at Amherst have received a grant to enhance emissions reporting for steel construction projects.
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/2023/12/empire_state_1-scaled.jpg)
Manufacturing activity in New York state continues to soften
New York state saw a continued decline in manufacturing activity in July, according to the latest Empire State Manufacturing Survey from the Federal Reserve Bank of New York.