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Industry News
Current Business Conditions Downshift To Neutral In April
May 9, 2016

NEMA's Electroindustry Business Conditions Index (EBCI) continued its recent volatile behavior, dropping to a neutral 50 points in April after surging to 64.7 in March from 44.4 in February. Nineteen percent of panelists reported conditions improved in April, down from 41% in March. Another 19% reported the business environment worsened in April, up from 12% in March. The vast majority, though, claimed conditions were unchanged in April, up from the 47% who held this view a month ago.

The survey's measure of the intensity of change in electroindustry business conditions was similarly neutral in April, dropping to 0.0 from +0.5 in March. Panelists are asked to report intensity of change on a scale ranging from –5 (deteriorated significantly) through 0 (unchanged) to +5 (improved significantly). 

The EBCI for future North American conditions also deteriorated in April, dropping to 53.1 from 61.8 in March. A substantially smaller share of the panel (19%) reported positive expectations for the next six months than was the case last month (35%), while a similar share–13% in April compared to 12% in March–reported negative expectations. The share expecting to see no change in business conditions over the next six months rose to 69% in April from 53% in March. 

Click here for the complete April 2016 report.
 

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