The value of building permits in the non-residential sector rose 4.6 percent in June.
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Strong economy continues as Employment Trends Index increases more than 5 percent.
Goods and services deficit down year-over-year.
Consumers assessment of current conditions improves, expectations decline.
AD member U.S. sales up 11 percent for first six months of year.
Manufacturing sector expanded in July, though growth slowed 2% compared to June.
Freight costs, other factors cloud second-half outlook
Robert W. Baird & Co., in partnership with Modern Distribution Management, conducted a survey of more than 500 distributors and manufacturers to gauge business trends and the outlook for the distribution industry in diverse sectors. Here are the latest indicators on revenue and pricing, based on second-quarter results and distributor and manufacturer expectations for third-quarter and full-year 2018. Respondents also provided their perspective on the impact of higher freight costs.
This article includes:
- Sector Performance
- Freight Costs on the Rise
- Is Amazon Business a Threat?
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- MDM-Baird Distribution Survey: Storms Stunt Distributor Growth
- Distributors Up Search Marketing Efforts
- Amazon Business: The Burning E-Platform
Financial indicators – including the quarterly survey results in this issue (which MDM has now published in partnership with Baird for eight years) – indicate that the second quarter has an increasing probability to be the peak for 2018. The tea leaves point to moderating growth, but still growth. The end result will likely be a record year for many distributors.
Subscribers should log in below to read this article.
Not a subscriber? Subscribe below or learn more. Subscribers also have access to the following related articles:
- MDM-Baird Distribution Survey: Storms Stunt Distributor Growth
- Distributors Up Search Marketing Efforts
- Amazon Business: The Burning E-Platform
Forty-five of the 85 individual indicators made positive contributions to the CFNAI in June.
June Index points to continued growth in the U.S. economy.
Seven of eight major components rose year over year.
Mortgage rate hikes, new regulations may have slowed demand during the month.
Employment Trends Index continues its upward path as the labor market tightens.
Industry shows double-digit growth in first five months of the year, as strength continues across all regions.
New data from U.S. Census Bureau shows 4.5 percent year-over-year increase in total construction spending during the month.
PMI up 1.5 percent to 60.2, as new orders remain strong and customers inventories remain low.
