By Mark Pender
NEW YORK (MNI) – MNI’s U.S. capital goods index is unchanged in the
Jan. 13 period at a breakeven 50.0 level that indicates no change in
year-on-year business conditions, according to the results of Market
News International’s weekly survey released Tuesday.
Mixed is the best description of outlooks from the sample, but most
see slowing rates of growth for the year.
Disappointments are tied to slowing orders from Europe and to
electronics dislocations from Thailand.
Averages are all sloping downward with the 12-week, at 59.2, down
for the 20th time in 21 weeks.
December is typically a strong month for shipments, but November
was a particularly weak month and appears certain to hold back
sequential shipments for fourth-quarter nondefense capital goods.
Currency effects, tied to the less competitive dollar, are turning
from slightly positive to slightly negative, a factor that isn’t helping
export sales.
Sales growth for the sample, at a year-on-year +4.6%, is the
slowest since second-quarter last year.
Income, at -5.0%, is the weakest since first-quarter last year.
Sample size in the period is 217 companies.
Editor’s Note: MNI compiles its capital goods index based on a
weekly sample of company news and data.
** Market News International New York Newsroom: 212-669-6430 **
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