US construction spending inches up in May, but homebuilding weak

US construction spending rose marginally by 0.1% in May, but fell 1.5% year-over-year. New single-family housing spending dropped 0.1% and was down 4.0% year-on-year, while factory construction outlays declined 1.3%. The 30-year fixed mortgage rate averaged 6.49%, about 50 basis points higher since the US-Iran conflict began in late February, weighing on residential investment.