Commerce Department data showing a 0.3 percent increase in construction spending to an 8-1/2 year high in March raised the Atlanta Fed's GDPNow forecast model's projections on second-quarter residential investment growth and nonresidential structures investment growth, the Atlanta Fed said.
But an unexpectedly bigger drop in the Institute for Supply Management's US manufacturing index in April led to downgrades in the model's forecasts on equipment investment growth and consumer spending growth, the Atlanta Fed said.