U.S. non-residential construction remains at a low ebb and appears likely to stay that way for many months ahead, according to the Construction Backlog Indicator (CBI), a new, forward-looking indicator compiled by the national Associated Builders and Contractors (ABC).
The CBI measures the amount of construction work under contract to be completed in the future.
The CBI declined 9% between November 2009 and January 2010. It has fallen 16.3% in the past year and now stands at 5.5 months.
"The fact that the CBI is now at its lowest point since ABC began measuring the statistic in November 2008 indicates that the nation's nonresidential construction industry remains mired in its own recession," said Anirban Basu, ABC chief economist.
Non-residential construction tends to lag the general economy by one to two years, Basu exlained.
"The hope had been that some signs of backlog stability would be apparent by now. However, all indications continue to point toward ongoing decline in the commerical and industrial construction industry," he added.