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Category: Dodge Momentum Index

Dodge Momentum Index increases in September

The Dodge Momentum Index, issued by Dodge Data & Analytics, rose 3.7% in September. The Momentum Index has made steady, albeit slow, progress since hitting a nadir in June. In the third quarter, the Momentum Index gained 2.2% over the previous three months.

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Dodge Momentum Index inches up in August

Dodge Data & Analytics reports that the Dodge Momentum Index increased 1.8% in August. The commercial component rose 3.3%, while the institutional component moved 1.2% lower. The August increase in the overall Momentum Index is the second consecutive rise and a further sign that the construction sector continues to post a modest recovery following the large declines in April and June. This recovery, though, is uneven.

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Dodge Momentum Index increases in July

This month’s increase in the Dodge Momentum Index was the first in all of 2020. Since December 2019, the Momentum Index has lost 18% with most of the decline coming in April when the COVID-19 pandemic led to numerous business shutdowns across the country. The pullback has largely come from institutional planning, rather than commercial plans.

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Dodge Momentum Index flat in May

While the Dodge Momentum Index may move lower in the future, its present level continues to suggest that there are enough projects entering planning to allow construction to begin a modest recovery in the third quarter.

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Dodge Momentum Index falls on COVID-19 in April

The Dodge Momentum Index moved 6.0% lower in April to 135.9 from the revised March reading of 144.5. Both components of the Momentum Index pulled back during the month – the commercial component fell 7.6%, while the institutional component dropped 3.2%.

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Construction starts decline in March

“Considering the calamity that occurred towards the end of March as the fallout from the COVID-19 (Coronavirus) hit the economy, construction starts held up rather well,” stated Richard Branch Chief Economist for Dodge Data & Analytics. “Construction starts in March were unlikely to be greatly impacted as projects that broke ground during the month likely had materials sourced and in-place and labor booked well ahead of the scheduled groundbreaking.”

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Dodge Momentum Index eases back in March

The drop in March was present in both components of Dodge Data & Analytics’ Momentum Index – the commercial component fell 0.8%, while the institutional component was 0.2% lower. It is still very early on in the COVID-19 crisis and March’s data would not fully capture any potential impact of the pandemic on construction planning. Dodge will be monitoring the progress of the projects entering the planning process and will provide frequent updates as the crisis evolves.

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Dodge Momentum Index inches lower in February

The Dodge Momentum Index, issued monthly by Dodge Data & Analytics, moved 1.8% lower in February. While the overall Momentum Index has declined for two consecutive months, it remains 11% higher on a year-over-year basis. The commercial component is 20% higher than a year ago, while the institutional component is 2% lower. This continues to suggest that construction activity should remain near its recent highs in 2020.

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