Berkshire Furniture Unit Says Businesses Scaling Back

[Liberty]

http://www.bloomberg.com/news/2012-07-02/berkshire-s-pederson-says-u-s-businesses-scaling-back.html

[Rabbitisrich]

Cort's report is consistent with the last manufacturing PMI. Look at the selected comments from machinery, metals, electronics, apparel, furniture, and chemicals.

 

[*]"Business is still strong, with some nagging question whether it will be sustained." (Machinery)

[*]"The economy and general business seem to be getting better even though recent data say otherwise." (Fabricated Metal Products)

[*]"Significant raw materials price correction underway." (Plastics & Rubber Products)

[*]"Local labor market shows no signs of slowing down. Competition for technical services/skilled craft remains tight." (Petroleum & Coal Products)

[*]"Overall demand signals from sales forecast are trending down in all regions." (Computer & Electronic Products)

[*]"Although our shipments are up year over year and from prior month, we can feel some head winds, especially from Europe. We are watching our expenses very tightly and being cautious." (Apparel, Leather & Allied Products)

[*]"Business continues to exceed forecast in all markets." (Primary Metals)

[*]"Economy seems to be slowing slightly due to concerns in Europe; however, production has not changed a great deal." (Transportation Equipment)

[*]"Business has started to show signs of slowing." (Furniture & Related Products)

[*]"Slowing world economies, particularly China, are reducing 3Q and later orders and drastically dropping some raw material prices." (Chemical Products)

 

And from non-manufacturing:

 

[*]"Q2 will be a strong quarter for us; the building market is starting to wake up." (Construction)

[*]"Increased activity and resources related to projects." (Finance & Insurance)

[*]"The upswing in consumer confidence has led to increased business." (Arts, Entertainment & Recreation)

[*]"While we tend to remain optimistic about the economy, our numbers do not show a surge in activity. It appears consumers are maintaining their 'let's wait and see' attitude." (Accommodation & Food Services)

[*]"Business outlook is flat for the remainder of 2012 with emphasis on cost containment, restructuring and cost-savings projects." (Professional, Scientific & Technical Services)

[*]"Business is still strong, but we have seen some softening in growth since mid-March." (Wholesale Trade)[/l][/l][/l][/l]