Manufacturing Data Report Expenditure Growth Plans

Thursday’s producer sentiment reports revealed big gains in the capital expenditure plans components, pointing to a possible ongoing climb in sentiment and investment activity into early-2017. The Philly Fed capital expenditure plans measure surged to a cycle-high 33.8 from 19.1 in November and a 5-month high of 21.2 in October, versus a 31.2 prior cycle-high in March of 2011 and a -18.2 cycle-low in December of 2008.

The Empire State’s capital expenditure plans index surged to 21.7 from 12.7 in November and 13.2 in October, versus a one-year high of 22.1 in April, a 38.2 cycle-high in May of 2010, and a -19.1 cycle-low in March of 2009.

By Marvin Goff