By Mark Pender
NEW YORK (MNI) – MNI’s U.S. capital goods indicator jumped 4.4
points in the Dec. 7 period to 42.7 for the best weekly gain since
April, according to the results of MNI’s weekly survey released Monday.
Year-on-year sales growth for the period’s 321-company sample is
+1.0% with income growth at zero.
Currency effects are negative but easing, subtracting two
percentage points from export sales for the least drag since July.
The diffusion indicator for the ex-aircraft sample jumped more than
four points to 41.0. Year-on-year sales for ex-aircraft is +0.8% with
income growth, as it is for the total sample, at zero.
Despite the week’s strength, guidance from both the ex-aircraft
sample and the total sample continue to point to no growth for
sequential fourth-quarter sales.
Positive comments in the week include expectations for an upturn in
non-residential construction and continued ramping up in Boeing and
Airbus production. Many are also pointing to strong backlogs.
The negative side includes the fiscal cliff which many say are
keeping customers from firming up orders.
Commentary out electronics machinery and medical equipment are
weak.
Editor’s Note: MNI compiles its capital goods indicator based on a
weekly sample of company news and data.
** MNI New York Bureau: 212-669-6430 **
[TOPICS: MDUCG$,MT$$$$,M$U$$$,M$UEQ$,MAUDS$]
