Architecture Billings Index Slips Nearly Three Points

Following several months of relatively positive business conditions, the Architecture Billings Index (ABI) fell almost three points in April. As a leading economic indicator of construction activity, the ABI reflects the approximate nine to 12 month lag time between architecture billings and construction spending. The American Institute of Architects (AIA) reported the April ABI score was 47.6, a precipitous decrease from a reading of 50.5 the previous month. This score reflects a sharp decrease in demand for design services (any score above 50 indicates an increase in billings). The new projects inquiry index was 55.0, down from a mark of 58.7 in March, but still at a healthy level.