Economy

Dodge Momentum Index jumps to record high in January

Written by Brett Linton

February 12, 2025

The Dodge Momentum Index (DMI) rose to a record high in January, according to the latest data released by Dodge Construction Network.

The January DMI rose to 225.7, a 6% increase from December’s revised reading of 213.6 and 26% higher than levels one year prior. This surpasses the previous high of 222.2 recorded in December 2022.

“Nonresidential planning activity saw diversified growth in January, with every vertical experiencing positive momentum,” said Dodge’s associate director of forecasting Sarah Martin. “Uncertainty over fiscal policies, ongoing labor shortages and elevated construction costs will continue to be headwinds to the construction sector.” However, she added that construction spending should be supported in the second half of the year by significant project backlogs and additional monetary easing.

The commercial building segment of the index rose 4% from December to January to a five-month high of 275.2, 37% greater than January 2024 levels. The institutional segment grew 9% to a 19-month high of 164.4, also up 9% compared to one year ago.

Dodge reported that a total of 33 projects valued at $100 million or more entered planning in January, up from 32 in December.

It is the leading index for commercial real estate, and uses the data of planned nonresidential building projects to track spending in this important steel-consuming sector for the next 12 months. An interactive history of the DMI is available on our website.

Brett Linton

Brett Linton is a senior analyst for Steel Market Update, where he began his career. Linton has been in the steel industry since 2010. He has held roles as a category manager and strategic insights director at Reibus before returning to SMU in 2024. He is a graduate of The University of North Georgia with a degree in Finance and Accounting. Brett can be reached at brett@steelmarketupdate.com or 724-314-0179.

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