The July report shows that metalformers are feeling more optimistic about general economic activity than they have since April 2006.  Thirty-seven percent of participants predict an improvement in overall economic activity (up from 21% in June), 47% expect that activity will remain unchanged (compared to 58% last month) and 16% report that activity will decline (compared to 21% in June). 

Metalforming companies also anticipate an improvement in incoming orders during the next three months.  Forty-six percent predict an increase in orders (up from 29% in June), 39% expect no change (down from 46% the previous month), and only 15% of companies forecast a decrease in orders (compared to 25% in June). 

Current average daily shipping levels also increased in July.  Thirty-one percent of participants report that shipping levels are above levels of three months ago (compared to 14% in June), 32% report no change (down from 37% in June) and 37% report that shipping levels are below levels of three months ago (down from 49% reported last month).

The number of metalforming companies with a portion of their workforce on short time or layoff remained steady at 81% in July√¢‚Ǩ”the same percentage reported in June.  This level remains at a substantially higher rate than July of last year, when only 17% of companies reported workers on short time or layoff. 

“PMA members are reporting that there are positive signs of stronger business conditions,” said William E. Gaskin, PMA president.  “Customer markets such as automotive, truck, appliance and construction are all still very soft, but the July data confirms that a bottom has been reached for many members and their expectations for the next three months are the most positive that we have seen in a year.  Certainly the metalforming industry is not yet in full recovery, but this month’s data is hopefully the beginning of a positive trend.” 

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