Housing Construction Up 0.5%

Housing construction edged up 0.5% in April, the third monthly gain in a row after a sharp slump at the end of last year, the government said today.

The Commerce Department said the increase pushed construction activity to a seasonally adjusted annual rate of 1.56 million units. But all of the strength came in apartment construction, which often has wide month-to-month swings. Construction of single-family homes, a closely watched category, posted a decline, which analysts blamed on rising interest rates. The overall increase last month followed a gain of 2.3% in March and 9.9% in February.