Dodge Momentum Index hits 12-year high led by institutional planning

The Dodge Momentum Index posted an 8.6 percent gain in April, climbing to 162.4 (2000=100) from the revised reading of 149.5 in March. The Momentum Index, issued by Dodge Data & Analytics, is a monthly measure of the first (or initial) report for nonresidential building projects in planning, which have been shown to lead construction spending for nonresidential buildings by a full year. April’s gain marks the fifth consecutive monthly increase, and similar to February and March, was due to a large increase in institutional buildings entering the planning stage, while commercial planning eased by less than 1 percent.

Since hitting its nine-year low in January, institutional planning has rebounded substantially, climbing 77 percent during the past three months. Healthcare and laboratory projects continue to dominate the sector, pushing institutional planning 50 percent higher on a year-over-year basis. Conversely, the commercial component has slipped in recent months as f