WASHINGTON (March 1, 2013)--Spending on construction projects dropped in January by the most in 18 months as home construction stalled and spending on government projects fell to the lowest level in more than six years, the U.S. Commerce Department said Friday.

The dip was portrayed as a temporary setback.

Construction is expected to keep moving higher this year.

The Commerce Department said construction spending fell 2.1 percent in January compared with December, when spending had risen 1.1 percent, the biggest one-month decline since July 2011.

Residential construction, which has been leading the rebound in building, stalled in January with no gain in activity following a 1.7 percent rise in December.

Non-residential building dropped 5.1 percent while public construction was down 5.1 percent, pushing activity in the government sector to the lowest point since November 2006.