Economy
Dodge Momentum rebounds in December
Written by David Schollaert
January 9, 2025
Improved growth in data center planning and warehousing projects helped the Dodge Momentum Index (DMI) rebound in December. The index recovered last month after declining for three consecutive months prior.
Dodge Construction Network (DCN) reported a DMI of 212.0 in December, a 10.2% boost from 192.3 the month before. Institutional planning improved 2.5%, while commercial planning increased 14.2%.
Data center and warehousing planning were bright spots last month, aided by improved planning in health care and education activity driving institutional growth.
Sarah Martin, DCN’s associate director of forecasting, said “Overall, the strong performance of the Momentum Index this past year is expected to support nonresidential construction spending throughout 2025.”
On the commercial side, data center impact on the DMI in 2024 was substantial. If data center projects in 2023 and 2024 were removed, commercial planning would be up 8% y/y (year over year), and the entire DMI would be up 5%, the report said.
Compared to one year ago, December’s DMI was 19% higher this year, with the institutional segment flat and the commercial segment surging 30%.
The DMI tracks the value of nonresidential construction projects entering the planning stages and typically leads construction spending by about 12 months.
David Schollaert
Read more from David SchollaertLatest in Economy
US sets Section 232 tariffs on trucks and buses
Medium- and heavy-duty trucks (MHDV) and buses imported to the US will start being charged Section 232 tariffs beginning Nov. 1.
Beige Book: Regional market growth remains mostly flat
Economic growth in some US regions in September was offset by challenges in others, causing the market to appear largely unchanged overall, according to the Federal Reserve’s latest Beige Book report.
ISM September survey captures deepening manufacturing gloom
The Institute for Supply Management’s (ISM) latest monthly report on manufacturing reflects a bleak view of American industry in September.
Key industries concerned over government shutdown’s impact on steel, manufacturing
Trade groups cautioned that a prolonged shutdown could strain US industry.
Chicago Business Barometer catches cold winds of contraction in September
The Chicago Business Barometer's September reading indicates a softening in overall business activity in the Midwest for the third consecutive month, with new orders and backlogs retreating further.