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The third quarter of 2017 saw growth in new orders decline while export readings fell below 50.0, indicating an overall contraction in exports. Sub-index readings of material prices increased sharply during the third quarter, which may have influenced
the decline in exports.
A deceleration in new orders and backlog growth coupled with declining exports pulled the Moldmaking Index lower in September. Readings for production, employment and supplier deliveries have supported the Moldmaking Index’s overall growth through the year.
Registering 53.5 for September, the Gardner Business Index (GBI): Moldmaking fell slightly as it ended the third quarter of 2017. This latest reading brought the 2017 year-to-date index average to 55.5 and the third quarter average to 54.9. For the year-to-date and 12-month periods, the index changed approximately -2 percent and 2 percent, respectively. Gardner Intelligence’s review of the underlying data for the month indicates that supplier deliveries, production, employment and new orders lifted the Moldmaking Index higher while backlog and exports pulled the Moldmaking Index lower. The decline in the Moldmaking Index for this month was largely a result of slowing growth in new orders and backlog combined with a contraction in exports that had posted growth during the previous month.
The Moldmaking Index results among custom processors alone during 2017 have been marginal compared to the broader Moldmaking Index. Results during the third quarter indicated slowing growth for both groups. More information about the Moldmaking Index can
be found at gardnerintelligence.com.
About the Author
Michael Guckes
Michael Guckes is the chief economist for Gardner Intelligence, a division of Gardner Business Media (Cincinnati, Ohio, United States). He has performed economic analysis, modeling and forecasting work for nearly 20 years among a range of industries. He is available at mguckes@gardnerweb.com.