The highlight of the Construction Industry Forecast is the annual Optimism Quotient (OQ). After reaching an all-time high in 2015, the industry OQ this year remains very positive at 108, although notably lower than last year’s record. We consider any measurement higher than 100 highly positive. Taken independently, the result of 108 is the fifth highest recorded OQ in the past 20 years. However, it is only the fourth highest in the past five years, below those recorded in 2012, 2014, and 2015. The key ingredient to the OQ is whether the industry expects local nonresidential construction to increase, remain the same, or decrease. Compared to the 20-year horizon, 2016 could shape up to be very strong for the industry.
