The Commerce Department's Census ​Bureau said on Monday that construction spending dipped 0.1%. Construction ‌spending in May was revised to show it was unchanged instead of edging up 0.1%, as previously reported. Economists polled by Reuters had forecast construction ​spending would climb 0.2%.

Construction spending dropped 3.2% on a year-over-year ​basis in June.

Spending on private construction projects eased 0.1% ⁠after falling 0.2% in the prior month. Investment in residential construction ​dropped 0.3%. Spending on new single-family housing projects fell 0.6%. It ​decreased 3.3% on a year-over-year basis in June.

The average rate on the popular 30-year fixed-rate mortgage has increased by nearly 70 basis points since the U.S. ​and Israel attacked Iran at the end of February. The ​rate averaged a one-year high of 6.66% last week, data from mortgage finance agency ‌Freddie ⁠Mac showed.

Spending on multi-family housing units, which account for a small share of the housing market, declined 0.7% in June. Residential investment rebounded in the second quarter after contracting for five straight quarters, ​the government reported ​last week. ⁠Renovations have risen as the higher borrowing costs depress demand for housing.

Investment in private nonresidential structures such ​as power plants and factories inched up 0.1% in ​June. ⁠Spending on factory projects dropped 1.2%. Investment in nonresidential structures contracted in the second quarter, logging its 10th straight quarterly decline.

Investment in public ⁠construction projects ​was unchanged after increasing 0.6% in ​May. State and local government construction spending was unchanged in June. Outlays on federal ​government projects were also flat.