U.S. Manufacturing Sector Improved

After I have posted previous articles on the In the year 2010 Concerned About Inflation Business ......! This time I will discuss about the U.S. Manufacturing Sector Improved..United States manufacturing sector (U.S.) in December jumped to the highest level in four latest.Data shows, manufacturing expanded for five consecutive months.


Institute for Supply Management's factory index mentioning the U.S. in December rose to 55.9 points compared to November which recorded 53.6 points.


These data add to the public belief that the U.S. economy in 2010 will improve. "This (development of performance) that we need in 2010. The data show the recovery will form a V pattern, "said President Alan B Lancz & Associates Alan Lancz in Toledo, Ohio, USA. U.S. factory index data in December was the highest since April 2006, when the index was in position 56 points. Index above 50 indicates expansion. As is known, the U.S. economy collapsed in late 2007 and entered the worst recession since the Great Depression of the 1930s.

Uncle Sam's country's economy grew in the quarter back III/2009 with the value 2.2% (year on year / yoy). Until November 2009, the U.S. economy is still covered with termination of employment (FLE), although the pace began droop.Reuters follow poll, as many employers do layoffs Desember.in workers in 8000 November, the number of employers conducted layoff 11,000 employees recorded. Based on data from the U.S. government, in early 2009 the U.S. economy reported layoffs as much as half a million employees per month.

ISM data showed an improvement in the field of employment. Employment index rose to 52 points from November at 50.8 new poin.poisonous December also increased to 65.6 points from 60.3 points earlier. "Manufacturing will be a sector that provides support to the U.S. economy. We must make every effort in order to build the recovery of the manufacturing sector, "said fixed-income strategy for Morgan Stanley's wealth management Kevin Flanagan.

Wall Street stronges

Factory performance improvement reports make Wall Street rose in early trade in 2010. Weak U.S. dollar (USD) pushed the price of commodities and stocks. Industrial stock index Dow Jones (Dow Jones Industrial Average / DJIA) rose 156 points, or 1.5%. Index S & P 500 (SPX) also gained 18 points or 1.6%. While the Nasdaq index rose 39 points or 1.7%. These three indexes closed at the highest level during the last 15 months.

"The increase is stronger on this day is a signal of encouragement, but we must see progress in a few days to conclude," said chief investment Hepburn Will Hepburn Capital Management. He explained, usually early trading positive, so take a few days to see the power to conclude trade volume occurs due to a rally in the manufacturing sector increased. At the end of 2009 the trade (thursday/31/12), U.S. stock trading occurs in the thin volume has decreased. At the end of December, strengthening lower than earlier months.

Strengthening the market lost momentum in November and early December. Attenuation occurs at the end of December as the U.S. dollar began strengthening. During 2009, the U.S. stock market recorded a substantial profit. Index S & P 500 rose 23.4%, DJIA gained 18.8%, and the Nasdaq jumped 44%. Shares continue higher after reaching the lowest position in March 2009 due to market money crisis.in March 9 market closed at its lowest level for 12 years compared latest.Jika closing March 9, on December 31 DJIA gained 59% and the S & P 500 rose 65%, while the Nasdaq jumped 79%.

Construction Expenditures Remain Weak

But the U.S. economy still has challenges, including reports of decline in construction spending in November. Construction expenditures fell to the lowest level in six years. Depressed construction sector since the U.S. central bank's plan (the Fed) raised its benchmark interest rate is currently close to zero.

Deutsche Bank senior economist Torsten Slok New York explained, manufacturing data should be able to change the policy of the Fed to raise interest bunga.Tapi the U.S. Commerce Department said construction spending fell 0.6% in November.Total decline recorded USD900, 1 billion or the lowest level since July 2003. This is the seventh decline due to weak property industry.

Individual housing construction expenditures fell 1.6% in November. November performance was the biggest decline since June because of construction in October 2009 rose 4.8%.

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