Chemical Activity Barometer Reaches Six-Year Peak

The Chemical Activity Barometer (CAB), an economic indicator created by the American Chemistry Council (ACC), reached its highest peak since February 2008, while also posting its highest year-over-year gain since September 2010. Measured on a three-month moving average (3MMA), the CAB realized a 0.8 percent gain over April, and is up 4.1 percent over this time last year. The data reflect upward revisions for the previous five months, suggesting more than just a rebound from the adverse winter months.

Though housing starts improved last month and sales of existing and new homes were up, activity within the construction-related plastic resins segment was mixed. In contrast, activity within the pigments and other performance chemistry markets, such as adhesives, sealants, and paint additives was stronger. Likewise, upward performance within the electronics chemicals sector was encouraging as the semiconductor industry is a bellwether of the industrial cycle. Gains in oilfield chemicals suggest that the boom in unconventional oil and gas continues to progress, enhancing overall economic growth.

The Chemical Activity Barometer has four primary components, each consisting of a variety of indicators: 1) production; 2) equity prices; 3) product prices; and 4) inventories and other indicators. Overall results in the four primary components of the CAB were positive, with chemical equity prices continuing to outpace the broader market.

The Chemical Activity Barometer is derived from a composite index of chemical industry activity. The chemical industry has been found to consistently lead the U.S. economy’s business cycle given its early position in the supply chain, and this barometer can be used to determine turning points and likely trends in the wider economy. Month-to-month movements can be volatile so a three-month moving average of the barometer is provided. This provides a more consistent and illustrative picture of national economic trends.

For more information, visit: www.americanchemistry.com

 

More News:

  • DuPont Challenge Encourages Entries For 2015 Competition

    The DuPont Challenge encourages students to develop a better understanding and passion for STEM by researching and writing an informative essay offering solutions to today’s challenges regarding food, energy, protection and innovation, or a story on a science discovery.

  • SOCMA Hosts 93rd Annual Dinner And Awards Showcase

    The Society of Chemical Manufacturers and Affiliates (SOCMA) is returning to the New York Marriott Marquis Times Square on December 8, 2014, for its 93rd Annual Dinner honoring Performance Improvement Award winners and featuring a Leadership and Business Development Speaker Showcase.

  • Summit Features Bio-Based Tech Startups

    The 6th Next Generation Bio-Based & Sustainable Chemicals Summit, February 3 – February 5, 2015, in New Orleans, LA brings together bio-based tech startups, specialty chemical manufacturers, chemical majors, feedstock providers, financiers and strategic venture capitalists to explore bio-based chemicals.

  • Flint Hills Resources Will Cease Marysville Operations

    Flint Hills Resources plans to close its Marysville, Michigan polypropylene facility.

  • EFCE Seeks Award Nominees

    Award honors outstanding thesis in thermodynamics or transport properties

  • British Safety Regulator Gets New Head

    Executive has worked in both the public and private sectors

  • AkzoNobel Partnership Investigates Waste As Feedstock

    AkzoNobel is part of a major Dutch partnership working with Canada's Enerkem to explore the use of waste streams as a feedstock for chemical production and the development of waste-to-chemicals facilities.

  • Scientist And CorningWare Inventor Stookey Dies

    S. Donald Stookey, credited with inventing CorningWare, died on Tuesday, November 4 at the age of 99.

  • DOE Funds New Gasification Research

    The Department of Energy announced new investments in gasification research.

  • SOCMA Awards Honor EHS&S Improvement

    More than 28 member facilities will receive 2014 Performance Improvement Awards for their outstanding commitment to continuous improvement in environmental, health, safety and security (EHS&S) practices at the Society of Chemical Manufacturers and Affiliates (SOCMA) 93rd Annual Dinner on December 8 in New York.

All news »

What are your comments?

Join the discussion today. Login Here.

Comments

No one has commented on this page yet.

RSS feed for comments on this page | RSS feed for all comments