Eurozone and China Manufacturing Slow; US Increases

Looking at the June manufacturing data, it looks like there is a mixed performance in June. In the UK, they are reporting that UK manufacturing is growing at the slowest pace in two years. The Guardian reports that concerns deepen over their economic recovery as manufacturing PMI figures show bigger drop than expected. The Guardian also reports that China manufacturing was weaker than expected. Here in the US, the June ISM report shows that the Purchasing Managers Index registered 55.3 percent, an increase of 1.8 percentage points from May, indicating expansion in the manufacturing sector for the 23rd consecutive month. New orders and production were both modestly up from last month, and employment showed continued strength with an increase of 1.7 percentage points to 59.9 percent. From all these reports, we would have to keep our forecast antenna up.  The global economies still remain intertwined and ripple effects are bound to happen. With 21% of the Rockford area’s economy tied to manufacturing, this deserves careful...

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UK Manufacturing Output Drops in April

This article from the UK’s Guardian says that manufacturing output dropped at its fastest pace for more than two years in April, raising fears that Britain’s fragile economic recovery is petering out. Analysts had expected to see a slowdown during the month, due to the royal wedding bank holiday and the knock-on effects of industrial shut-downs in Japan, and the Office for National Statistics highlighted these factors. But the 1.5% decline in manufacturing output over the month was much worse than City forecasts. We’ll have to watch these trends as they may reflect back on the US manufacturing sector and our local...

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Exporting Means Big Business In Illinois.

The Alliance for Illinois manufacturing has issued this invitation to learn more about exporting: “Illinois ranks as the 6th largest exporting state in the US and #1 in the Midwest. In 2010, Illinois exports totaled more than $49.77 billion. In the first quarter of 2011, Illinois has exported more than $14.74 billion worth of non agriculture goods – an increase of 30.43% compared to the same period in 2010. Today, approximately 539,300 Illinois jobs are supported by exports and that number is rapidly increasing. Opportunities are truly limitless on the global stage and it is with this in mind that Governor Quinn would like to extend to you an invitation to attend this year’s Illinois Export Week Conference. He is hosting the Illinois Export Week Conference as the capstone of a five day Illinois Export Week in order to educate and energize business owners throughout Illinois about the opportunities provided in international trade and business. The conference will feature experts from across the spectrum – including Doug Oberhelman, Chairman and CEO of Caterpillar Inc., among others – who will share their experiences and participate in question and answer sessions. The speakers and panelists at this conference will offer advice and perspective that will complement your business acumen, hopefully giving you invaluable tools for future work in the international arena. The conference is scheduled to take place on June 21 from 8:30 am – 2 pm at the Illinois Institute of Technology, Hermann Hall Conference Center (HHCC), 3241 S. Federal Street, Chicago. Breakfast and Lunch will be included. Please visit www.Exportweek.Illinois.gov to RSVP and see a full agenda. Additionally, please note that while the event is complimentary, registration in advance is...

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Is Manufacturing Headed for a Slowdown?

With the apparent slowdown in the US Midwest manufacturing , I see more signs that manufacturing could be headed for a slowdown. Looking at reports released today, the news on the UK economy just gets worse and worse. Wednesday’s dismal snapshot of manufacturing removes one of the last remaining reasons to be modestly upbeat about Britain’s recovery prospects.  Talk about manufacturing gloom The UK’s top Economists are getting gloomy too; here is an excerpt from the Guardian: “Manufacturers now appear to be finding life more challenging as stock rebuilding wanes and tighter fiscal policy weighs down on domestic demand. There are also signs that global demand is slowing as export orders fell back markedly in May. Meanwhile, high oil prices and other elevated input costs are causing problems for manufacturers by substantially squeezing their margins and putting pressure on them to raise prices and risk losing business. In addition, events in Japan are causing problems for some manufacturing sectors through causing supply chain disruptions”. See the rest here…UK Economists With the local manufacturing economy so well connected to global trade, I can’t help but think that we need to watch our buildup of...

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Good Manufacturing News in the UK

After earlier reports of concern for slowdown in the UK manufacturing sector, the Guardian reports that manufacturing data brighter after recent slowdown Domestic demand increased and exports grew, although at a slower pace. As reported in the British Broadcasting Corporation (BBC) web site, manufacturing accounts for 13% of their economic output and is an important factor of wealth creation. It ranks #6 in exports from the US to the...

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