By Mark Pender
NEW YORK (MNI) – MNI’s U.S. capital goods index, at 56.2 in the May
14 week and well above the year-on-year breakeven level of 50, is
indicating significant acceleration underway in the nation’s industrial
sector, according to the results of Market News International’s weekly
survey released Monday.
Year-on-year sales for the period’s 546-company sample is at +7.2%.
Income is at +25.
The results point to significant month-on-month gains for
capital-goods components of next week’s durable goods report, gains that
will likely be centered in new orders as shipments lag.
There have been very few references to troubles in Europe. X-Rite
(XRIT), a maker of light-measurement devices for the printing industry,
does cite the situation in Europe as a risk to short-term business
conditions.
Allied Motion Technologies (AMOT), which makes motion-control
products for a wide range of industries, reports strong new project
activity that points to faster-than-expected recovery in its markets.
Airport-equipment maker John Bean Technologies (JBT) reports
increased order activity in line with improving economic conditions in
the airline and airfreight industries.
Customers of restaurant-equipment maker Middleby (MIDD) are
beginning to report improving results which the company said points to
improving industry conditions later in the year.
Zinc-products producer Horsehead (ZINC) is expanding capacity and
has opened a sixth smelting furnace which it said fits well with recent
market demand.
Electronics-machinery maker Electro Scientific Industries (ESIO)
has posted four quarters of sequential sales growth and describes most
of its markets as strong. The exception is the still weak memory market
which it expects to begin recovering this quarter.
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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