P&S and STO Death Blow's Message Board

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Strategies & Market Trends : P&S and STO Death Blow's

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To: farkarooski who wrote (15258)	11/15/2002 11:35:43 AM
From: LTK007	Read Replies (2) of 30712

this defines it better, from briefing.com; except they exclude this announcement today by Fed Santomero(sp?) companies are nor rebuilding inventories because they are "ill-at-ease" about demand. <<Big Picture Industrial production turned in to the black with the new year after a sharp and steady decline throughout 2001. Steady declines returned in Aug with a heavy Oct plunge. The manufacturing sector continues to struggle for growth after the very deep recession. Lean inventories provide support but new business orders remains weak (but positive). A sustained upturn in production waits for stronger demand for manufactured goods (read business investment).(and it isn'thappening--max) Weakened global demand for capital goods adds to the lack of domestic capital spending. The result is tremendous manufacturing slack as capacity utilization rises from the lowest rate in 20 years. Now growing excess capacity provides a powerful drag on business investment and economic growth.>>

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