Construction contracts for a 24th month

Australian building activity has contracted for its 24th consecutive month, based on weak commercial activity and new orders, a private study has found.

The Australian Industry Group-Housing Industry Association's performance of construction index (PCI) fell 0.2 points to 34.7 in May.

A reading below 50 indicates a contraction in activity.

Commercial construction was the weakest sub-sector, with its sharpest fall in three years, down 9.8 points to 25.4.

Both house and apartment building remained weak, though the apartments were slightly improved.

The index of house building activity fell 5.1 points to 28.2 - which was the steepest index decline since September 2011.

Apartment building continued to decline, but at a slower rate as the index of activity in that sector rose 3.8 points to 26.7.

New orders continued to be in contraction mode, rising only slightly to 33.7 for May.

Engineering was the best performing sub-sector, but the rise of 0.4 points to 41.3 still left it in a downturn.

Australian Industry Group (Ai Group) chief economist Julie Toth said that non-mining-related construction remained extremely weak.

The rest is here:
Construction contracts for a 24th month