North American business conditions dip slightly, still show growth

The National Electrical Manu­facturers Association’s (NEMA) Electroindustry Business Confidence Index (EBCI) gauging current conditions in North American measured 53.6 in June, 2006. This was its 39th consecutive month above the 50-point threshold, which indicates conditions favorable to growth. Though the index declined from the month before, that drop was  only a modest 2.2 points below the 55.8 reading in May. Meanwhile, the index for future North American conditions rose slightly in June from the previous month’s low watermark, and climbed 0.9 points to 27.8.

NEMA reports business environments in each of the other world regions included in the survey were somewhat stronger. Current conditions in Latin America, Europe, and the Asia/Pacific region all posted strong readings in the low 60s, while future conditions measures for each of these regions reached or exceeded 50.

The organization’s Electroindustry Business Confidence Index gauges the business confidence of the electroindustry in Asia, Europe, North America, and Latin America, and is based on the results of a monthly survey of senior managers at the association’s member companies. Those companies represent more than 80% of the entire electroindustry.