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U.S. construction boom 2026 AI data center construction boom economic indicator: The Dodge Momentum Index, a key gauge of future non-residential construction activity, jumped 60% year-over-year in September, hitting the highest level ever recorded, as per a report. The index tracks projects that typically move from planning to groundbreaking within 9 to 12 months, making it a critical early indicator for construction trends, as per a social media X post by The Kobeissi Letter.Institutional Construction Projects See a Massive 75% JumpMuch of the surge was fueled by institutional projects, such as hospitals and public buildings, which rose 75% year-over-year, as per the report. Commercial projects also contributed, increasing 53%, led by AI-driven data centers and retail developments, reported The Kobeissi Letter. On a month-over-month basis, the index rose 3% in September, extending a strong upward trend following gains of 5% in August and 21% in July, as per the report.ALSO READ: Chipotle just sent a warning sign the Fed can’t ignore — is a Recession next?AI Data Centers Fuel Commercial Construction BoomExperts say the increase signals a potential construction boom in 2026, as projects planned today move into execution, as per The Kobeissi Letter report. AI-related investments, particularly in data centers, are expected to be a major driver of this growth, reflecting technology’s expanding impact on the real economy, as per the report.Live EventsThe Kobeissi Letter wrote in the X post, "the surge in AI-driven data center projects is set to translate into a powerful construction boom across the US in 2026."The AI construction boom:The Dodge Momentum Index surged +60% YoY in September, to the highest on record.This index serves as a leading indicator of non-residential construction, tracking projects that typically move from planning to groundbreaking within 9–12 months.The… pic.twitter.com/SLOAW8qHXW— The Kobeissi Letter (@KobeissiLetter) November 2, 2025 ALSO READ: BTC crash alert: Why Bitcoin price dropped to $107,000 and why experts warn it could fall to $88,000How Dodge Momentum Index Differs From Other Construction IndicatorsThe Dodge Momentum Index differs from other construction indicators because it focuses on first-issued planning reports or projects prior to starting construction, rather than tracking ongoing activity, as per a Majestic Steel report. This makes it a valuable tool for manufacturers, construction professionals, and economists to forecast demand for construction products and services, as per the report.Why Dodge Momentum Index Matters for Builders and EconomistsIndustry observers note that the index is not just a measure of construction trends but also a strong gauge for broader economic health, as per the Majestic Steel report. By analyzing these patterns over time, businesses and policymakers can better anticipate shifts in the market, as per the report.Majestic Steel noted that, "When examining the Dodge Momentum Index look at it holistically, the true value of the index is that it tracks trends over time."ALSO READ:Big Short legend Michael Burry breaks silence after 2 years, warns another massive bubble is hereFAQsWhat is the Dodge Momentum Index?It’s a leading indicator that tracks planned non-residential construction projects before they start.Why is the Dodge Momentum Index important?It helps predict future construction activity and overall economic direction.Add as a Reliable and Trusted News Source Add Now! (You can now subscribe to our Economic Times WhatsApp channel) Read More News onAI data centers construction impact US economyAI construction boom economic indicatorDodge Momentum Indexwhat is Dodge Momentum Indexhow AI is driving construction growthAI impact on construction industryDodge Momentum Index record high 2025what is driving data center construction in USmanufacturing and infrastructure demand in US 2026AI infrastructure expansion in US (Catch all the US News, UK News, Canada News, International Breaking News Events, and Latest News Updates on The Economic Times.) Download The Economic Times News App to get Daily International News Updates....moreless (You can now subscribe to our Economic Times WhatsApp channel)Read More News onAI data centers construction impact US economyAI construction boom economic indicatorDodge Momentum Indexwhat is Dodge Momentum Indexhow AI is driving construction growthAI impact on construction industryDodge Momentum Index record high 2025what is driving data center construction in USmanufacturing and infrastructure demand in US 2026AI infrastructure expansion in US(Catch all the US News, UK News, Canada News, International Breaking News Events, and Latest News Updates on The Economic Times.) Download The Economic Times News App to get Daily International News Updates....moreless Explore More Stories123
