“The U.S. Leading Economic Index increased in December, suggesting the economy will continue growing at a moderate pace, perhaps even accelerating slightly in the early months of this year,” said Ataman Ozyildirim, Director of Business Cycles and Growth Research at The Conference Board. “December’s large gain was mainly driven by improving sentiment about the outlook and suggests the business cycle still showed strong momentum in the final months of 2016.” – The Conference Board
Source: Bureau of Labor Statistics
Total nonfarm payroll employment increased by 227,000 in January, and the unemployment rate was little changed at 4.8 percent, the U.S. Bureau of Labor Statistics reported today. Job gains occurred in retail trade, construction, and financial activities.
Source: Institute for Supply Management
Economic activity in the manufacturing sector expanded in January, and the overall economy grew for the 92nd consecutive month, say the nation’s supply executives in the latest Manufacturing ISM® Report On Business®.
The President formally withdrew the United States from the TPP on January 23.
Because the United States represents over 60% of the combined GDP of the original 12 countries, without U.S. participation the agreement cannot enter into force.
What Comes After The Trans Pacific Partnership (TPP)?
The President formally withdrew the United States from the TPP on January 23. Because the United States represents over 60% of the combined GDP of the original 12 countries, without U.S. participation the agreement cannot enter into force.
The TPP was the largest regional trade accord in history and would have set new terms for trade and business investment among the United States and 11 other Pacific Rim nations, representing 40 percent of global GDP and one-third of world trade. Six (6) countries have existing Free Trade Agreements (FTA) with the United States (i.e., Singapore, Chile, Australia, Peru, Mexico, and Canada) and, five (5) have no FTA (i.e., Japan, Brunei, New Zealand, Vietnam, and Malaysia).
Source: American Trucking Associations
American Trucking Associations’ advanced seasonally adjusted (SA) For-Hire Truck Tonnage Index fell 6.2% in December, following a revised 8.4% jump during November. (November’s index was revised up slightly from our press release on December 20, 2016.) In December, the index equaled 133.8 (2000=100), down from 142.7 in November. The all-time high was 144 in February.
This morning President Trump signed an executive order withdrawing the United States from the Trans-Pacific Partnership (TPP). Although the TPP had been negotiated under President Obama, Congress had not ratified it. This trade deal would have included 11 Pacific Rim countries that according to the World Bank make up 40% of global GDP and 20% of global trade.
As is often true of a change in trend, it is neither smooth nor linear. The October Cass Freight Shipments Index was up 2.7%, breaking a string of 20 months in negative territory, then November fell back into negative territory, albeit ever so slightly (down 0.5%). Now December—coming in up 3.5%—suggests that the October data was not a false positive but instead the beginning of a more positive trend. We have seen a wide range of results in the different modes, from continued volume growth in parcel and airfreight driven by e-commerce; to a sequential improvement in truck tonnage; to less bad rail and barge volume overall. Data is beginning to suggest that the consumer is finally starting to spend a little and that with the recent surge in the price of crude, the industrial economy’s rate of deceleration has eased. If the winter of the overall freight recession we’ve been in for more than a year and a half in the U.S. is not yet over, it is certainly showing promising signs of thawing.
In the start of the new year, a lot has happened with MIQ Logistics and in the global logistics industry as a whole. The January 2017 Logistics Link from MIQ Logistics gives insights into MIQ in the News, industry updates, services provided by MIQ, and events that will be occurring in the near future.
Source: Bureau of Labor Statistics.
Sales: The combined value of distributive trade sales and manufacturers’ shipments for November, adjusted for seasonal and trading-day differences but not for price changes, was estimated at $1,326.7 billion, up 0.1 percent (±0.2 percent)* from October 2016 and was up 2.3 percent (±0.4 percent) from November 2015.