NEMA October 2009 ElectroIndustry - 24

Economic Spotlight › EBCI Signals Second Straight Index (>50 indicates conditions favorable to growth) Month of Improvement in North American Business Conditions in September NEMA’s Electroindustry Business Confidence Index (EBCI) for current North American conditions increased in September for a third straight month—topping the 50-point threshold indicative of sectoral expansion for a second straight month. The index rose 5.3 points to 58.6, its highest reading since April 2006 and more than 50 points above its cyclical low of 8 in December 2008. While the breadth of the nascent recovery has spread quickly, the absolute degree of improvement has nonetheless been modest. Indeed, the EBCI survey’s monthly measure of the intensity of change in business conditions rose to +0.1 in September from 0.0 in August, its first positive reading since June 2007. Intensity of change in business conditions is reported on a scale ranging from –5 (deteriorated significantly) through 0 (unchanged) to +5 (improved significantly). The EBCI for future North American conditions also climbed in September, reaching its highest level (69.0) since August 2005. This reading implies that a significant proportion of industry leaders foresees some degree of improvement in the business situation within the next six months. Still, while the survey currently has no formal measure of the expected intensity of change, respondent comments suggest that the degree of improvement over the next six months is seen as limited. ei Tim Gill, Director Economic Analysis | tim_gill@nema.org Electroindustry Business Confidence Index: September 2009 100 90 80 70 60 50 40 30 20 10 0 74.0 69.0 58.6 50.0 69.2 65.2 52.4 56.5 North America Latin America Current conditions Europe Future conditions Asia/Pacific North American Current Conditions Magnitude: September 2009 18 16 14 Number of Responses 12 10 8 6 4 2 0 -5 -4 -3 -2 -1 0 1 2 Median = 0 Mean = +0.1 Change in Conditions Rating › Now Available from NEMA/BIS—Electroindustry Economic Outlook Based on popular demand for up-todate data and forward-looking analysis of the electroindustry and the economic fundamentals that drive it, NEMA/BIS offers a subscription-based, regularly updated compendium of the information that industry professionals and executives most often request. The Electroindustry Economic Outlook is the preferred source for timely, comprehensive coverage of the economic trends and events shaping the U.S. electroindustry. • Extensive Coverage • Frequently Updated • Affordably Priced To find out how NEMA/BIS’ Electroindustry Economic Outlook can help your business, contact Tim Gill at 703-841-3298, or tim_gill@nema.org ei NEMA electroindustry • October 09
NEMA October 2009 ElectroIndustry

Table of Contents for the Digital Edition of NEMA October 2009 ElectroIndustry
