Economy

PMA Expects Steady but Positive Economic Conditions in Next Three Months
Written by Sandy Williams
May 15, 2014
Metalforming companies are predicting little change in economic conditions in the next three months, according to data from the May 2014 Precision Metalforming Association (PMA) Business Conditions Report. Incoming orders are also expected to remain relatively unchanged during the period.
Current daily shipping levels declined in May compared to three months ago according to those surveyed. When compared with levels from a year ago, 45 percent say shipping levels are higher. The percentage of companies with workforce on short time or layoff declined to 7 percent from 8 percent last month.
“PMA’s manufacturing members are very positive about current business conditions, with 45% reporting that shipment activity is up vs one year ago, 34% reporting unchanged shipping levels and 21% reporting shipping levels below one year ago (among the lowest percentage in the past two years),” said William E. Gaskin, PMA president. “Some 93% of metalforming companies expect the general economic outlook for next three months to be positive, consistent with the most recent PMI reading of 54.9% for manufacturing (up 1.2% from the prior month). The April PMI report also noted that two of the largest consuming markets for metal parts and components—transportation equipment and fabricated metal products—ranked as the sixth and seventh most positive manufacturing sectors out of the 17 sectors tracked. The typical PMA member experienced 8% higher shipments in Q-1 of 2014 vs 2013, with 10% growth in March vs February, according to PMA’s separate Monthly Orders and Shipments Report.”

Sandy Williams
Read more from Sandy WilliamsLatest in Economy

Industry groups praise Senate for passing tax and budget bill
The Steel Manufacturers Association and the American Iron and Steel Institute applauded the tax provisions included in the Senate's tax and budget reconciliation bill.

Chicago PMI dips 0.1 points in June
The Chicago Purchasing Managers Index (PMI) slipped 0.1 points to 40.4 points, in June.

Multi-family pullback drives housing starts to 5-year low in May
US housing starts tumbled in May to a five-year low, according to figures recently released by the US Census Bureau.

Architecture firms still struggling, ABI data shows
Architecture firms reported a modest improvement in billings through May, yet business conditions remained soft, according to the latest Architecture Billings Index (ABI) release from the American Institute of Architects (AIA) and Deltek.

Manufacturing in New York state contracts again
However, companies are growing more optimistic about the future.