The 3Q13 PTDA Business Index produced a reading of 51.6, a decrease from last quarter's reading of 54.7 and the third consecutive quarter of slower growth, according to the Power Transmission Distributors Association. Survey participants anticipate limited upside for the channel in 2014, possibly driven by decreasing pricing power, according to the new report.
The index reading indicates the rate of change compared with the previous period. For example, a reading of 50 indicates no change from the prior period while readings above 50 indicate growth and below 50 indicate contraction. The further the index is above or below 50 suggests a faster or slower rate of change.
The entire report is available through PTDA’s website at www.ptda.org/index. It includes U.S. and Canadian breakout data in addition to historical data. Conducted jointly by PTDA and Cleveland Research Company, the PTDA Business Index was modeled after the Purchasing Managers Index and tracks change in business activity, new orders, employment, supplier deliveries, inventories, prices and backlog in the power transmission / motion control industry.
