NEMA’s EBCI Current & Future Conditions Indexes Remain Bullish in Q4 2024

NEMA’s Electroindustry Business Confidence Index Current Conditions Index for Nov. 2024, collected just after the presidential election, declined to 60 points from the previous month’s 69.2 points. Seven percent of panel members reported that current conditions are “worse” compared to last month, while 67% reported conditions are “unchanged” and 27% reported current conditions are “better.”  Panel member comments portrayed mixed sentiments with some seeing an increase in demand, while others noted softening demand. Comments about the recent election results were also mixed, ranging from relief to uncertainty about future policy effects.  

The ElectroIndustry Business Conditions Index (EBCI) is a monthly survey of senior executives at electrical manufacturers published by the National Electrical Manufacturers Association (NEMA), Rosslyn, VA. Any score over the 50-point level indicates a greater number of panelists see conditions improving than see them deteriorating.

While the future conditions index decreased five points to 83.3 points from a near-term high of 88.5  points in October, it still reflects a strong outlook for the future. Consistent with the previous month, 77% of panel members anticipated “better” conditions in six months. One in five panel members forecasted conditions to remain “unchanged,” and, similar to the current conditions index, seven percent expect worse conditions six months from now. Comments from panel members remained positive but also reflected the uncertainty about the new administration’s policies.