Overall Finishing Activity Accelerated Contraction in June, Closing at 44.0
Finishing activity accelerated contraction for the second month in a row, down 2.5 points from May. Two months does not a trend make, but it does suggest that some degree of softening is real. Because contraction is common across industry segments reinforces that likelihood.
The Gardner Business Index (GBI): Finishing activity has taken a turn in line with other industry segments, contracting faster like we last experienced about a year ago.
Most contracting components contracted faster in June, employment being the exception that remained the same.
Production and backlog contracted faster for the first time in months, each dropping more than two points.
New orders contracted faster for the second month in a row, also by more than two points.
Exports continued a slowly accelerated decline.
Supplier deliveries continued to lengthen at about the same rate as May, for some non-obvious reason since volume is not stretching supply.
Expectations of future business (not part of the GBI calculation) are still positive, having leveled off in May and staying the same in June.
The Gardner Business Index (GBI): Finishing
Finishing activity contracted at an accelerated rate in June.
Key Component Activity
Production and backlog accelerated contraction, driving contraction in the overall Finishing index.
