Monday Economic Report – June 29, 2015

Here is the summary for this week’s Monday Economic Report:

Last week, there were several reminders that the manufacturing sector has not recovered fully from economic weaknesses earlier in the year, even as business leaders remain cautiously optimistic about activity in the coming months. Durable goods orders declined 1.8 percent in May, extending April’s 1.5 percent decrease. Much of this softness stemmed from reduced aircraft sales, with orders excluding transportation modestly higher. Nonetheless, durable goods demand has been quite weak for much of the past year. On the positive side, we would expect stronger durable goods orders in the June data, with the recent Paris Air Show lifting aircraft sales, and the broader measure, which excludes transportation, has edged marginally higher over the past three months. We hope that this is the start of a rebound. (continue reading…)

VN:F [1.9.22_1171]
Rating: 0.0/5 (0 votes cast)


The Internet of Things is Transforming Manufacturing

A technological revolution is sweeping across every manufacturing sector transforming the way our industry does, well…everything.

Powering this revolution is a connected network known as the Internet of Things (IoT). (continue reading…)

VN:F [1.9.22_1171]
Rating: 0.0/5 (0 votes cast)


Kansas City Fed: Manufacturing Activity Declined for the Fourth Straight Month in June

The Kansas City Federal Reserve Bank said that manufacturing activity declined for the fourth straight month in June, albeit at a slower pace than in May. The composite index of general business conditions increased from -13 in May to -9 in June. The slower decline for the headline measure stemmed largely from an easing in the decrease of new orders (up from -19 to -3). Still, it is hard to paint this report in a positive manner, with continued sluggishness across the board. For instance, the rate of production weakened even further (down from -13 to -21), with shipments (down from -9 to -15), employment (up from -17 to -9) and exports (up from -9 to -5) all solidly in contraction. Exports have been negative for six consecutive months. (continue reading…)

VN:F [1.9.22_1171]
Rating: 0.0/5 (0 votes cast)


Personal Spending Picked Up Strongly in May

The Bureau of Economic Analysis said that personal spending rose 0.9 percent in May, rebounding from a more-cautious 0.1 percent growth rate observed in April. It was the fastest monthly growth rate since August 2009. From the manufacturing perspective, this was welcome news, with spending on durable and nondurable goods up 2.2 percent and 1.9 percent, respectively. More importantly, it provides some encouragement that Americans might return to opening their wallets – something that there has been more hesitance to do so far this year. The year-over-year rate of personal spending in May, 3.6 percent, was the highest since December, up from 3.1 percent since in April. (continue reading…)

VN:F [1.9.22_1171]
Rating: 0.0/5 (0 votes cast)


Senate Committee Offers Bipartisan Long-Term Highway Reauthorization

Manufacturers need competitive infrastructure to thrive in today’s global economy. Unfortunately, the nation’s infrastructure is outdated and resting on a legacy built by previous generations.

Transportation extensions can no longer be a substitute for action. Manufacturers have been asking Congress for a well-funded, multiyear transportation bill and the Senate Environment and Public Works leadership has delivered. Today, Senators Inhofe, Boxer, Vitter and Carper introduced a long-term highway reauthorization bill, The Developing a Reliable and Innovative Vision for the Economy Act, that will provided a funded, multi-year extension that addresses future growth and need for manufacturers. (continue reading…)

VN:F [1.9.22_1171]
Rating: 0.0/5 (0 votes cast)


America’s Manufacturers Will Be Stronger Tomorrow with Trade Promotion Authority

Today, the Senate will take a final vote on the renewal and modernization of the long-standing congressional-executive framework known as Trade Promotion Authority (TPA). Movement on this top trade priority for manufacturers across a wide variety of industries throughout the United States has been a long time coming, since the expiration of the last TPA in mid-2007. Manufacturers in the U.S. have been at the forefront in pushing this legislation forward, from setting forth TPA priorities in 2013,  issuing a unanimous Board resolution later that year, testifying, taking out advertisements, activating call-in campaigns, appearing on TV and radio and of course holding many hundreds of meetings with Members of Congress in Washington and around the country. (continue reading…)

VN:F [1.9.22_1171]
Rating: 0.0/5 (0 votes cast)


First Quarter Real GDP Upwardly Revised to a Decline of 0.2 Percent

The Bureau of Economic Analysis said that the U.S. economy shrank by 0.2 percent in the first quarter. This second revision was an improvement upon the 0.7 percent decline seen in the previous estimate. Looking at the newer data, the improvement came from slightly better figures for personal consumption, nonresidential fixed investments, inventory replenishment, and state and local government spending. Yet, the underlying trends were not altered much, including the following:

  • The largest drag on growth in the first quarter was from net exports, subtracting 1.9 percentage points from the headline number. In this revision, the decline in goods exports was slower than in the prior release (down 7.5 percent instead of 14.0 percent), but this was offset by a bigger increase in goods imports (up 7.2 percent instead of 5.1 percent). International demand for manufactured goods exports has been dampened by the strong dollar and continued softness in economic markets abroad. (continue reading…)
VN:F [1.9.22_1171]
Rating: 0.0/5 (0 votes cast)


Mayors Seek Balance from Federal Regulations

What happens when your city or town cannot comply with federal environmental regulations? How does it limit job growth? What about economic development?

This past weekend, the National Association of Manufacturers (NAM) hosted a panel at the U.S. Conference of Mayors about balancing economic development and the growing federal environmental regulations. This panel explored the impact of federal regulations such as the proposed ozone regulation from the Environmental Protection Agency (EPA). (continue reading…)

VN:F [1.9.22_1171]
Rating: 0.0/5 (0 votes cast)


House Approved TSCA Modernization Act

The House of Representatives took a bold step today, approving H.R. 2576, the TSCA Modernization Act of 2015, by a vote of 398-1.

Our current laws don’t reflect modern realities.  When Toxic Substances Control Act (TSCA) was written we were still listening to 8-track tapes and the internet hadn’t been invented.  It’s been nearly four decades, and it’s time for an update. (continue reading…)

VN:F [1.9.22_1171]
Rating: 0.0/5 (0 votes cast)


Restoring Our Courts – New NAM Initiative Explores the Impact of Restoring a Minimal Diversity Standard to Allow Manufacturing Defendants Greater Access to Federal Courts

Tort claims and related litigation In the U.S. cost more than $250 billion per year, draining untold resources from the productive economy and resulting in lost jobs and missed growth opportunities for manufacturers.  Pockets of jurisdictions have developed across the country that act as hotbeds for mass tort litigation because they are seen as plaintiff friendly and biased against out of state defendants.  Last Friday, the NAM’s Manufacturers’ Legal Center (MLC) launched its “Restore Our Courts” initiative at a panel discussion on Capitol Hill.  The effort will promote greater access to federal courts for mass tort cases by restoring the minimal diversity standard to the U.S. judicial system.  More about Restore Our Courts can be found on its new webpage.   (continue reading…)

VN:F [1.9.22_1171]
Rating: 0.0/5 (0 votes cast)


A Manufacturing Blog

  • Categories

  • Connect With Manufacturers

            
  • Blogroll