RALEIGH, N.C. - FMI, management consultants and investment bankers for the building and construction industry, released its Construction Outlook: The Fourth Quarter 2008 Report. The Construction Outlook, a quarterly construction market forecast developed by FMI’s Research Services Group, looks at the good, the bad and the ugly of the economic future of construction over the next few years.
- The good - nonresidential construction will close out 2008 in positive territory.
- The bad - 2009 will bring an end to five straight years of nonresidential construction growth.
- The ugly - downturn of growth in 2009 will continue through 2010, which should mark the bottom in terms of dollar volume. Transportation construction is the only nonresidential segment likely to grow in 2010.
Another important indicator for construction is the federal funds rate, which as of the end of October is at its lowest rate since 2003 at 1 percent. The Fed said the “intensification of financial market turmoil is likely to exert additional restraint on spending, partly by further reducing the ability of household and business to obtain credit.”
FMI, management consultants and investment bankers to the construction industry, delivers innovative solutions to contractors, architects and engineers, construction materials producers, manufacturers and suppliers of building products and construction equipment, private owners, residential builders, utilities, government agencies, surety companies and trade associations.
For more information about the Construction Outlook: Fourth Quarter 2008, call 919-785-9211 or visit www.fminet.com.