The Electroindustry Business Confidence Index (EBCI) for current North American business conditions climbed for a second consecutive month in December, rising 5.5 points to 68 points, its highest level since June. December’s increase followed a 14.5-point gain a month earlier. Published monthly by the National Electrical Manufacturers Association, Rosslyn, Va., the EBCI is a monthly survey of senior executives at electrical manufacturers.
As a reading above 50 in the EBCI indicates more panelists than not reporting better conditions, these results show widespread improvement in the business environment across the electrical market in the final months of 2010. Forty percent of panelists reported improved conditions in December, similar to November’s figure of 38 percent. By contrast, only four percent reported deteriorating conditions in the latest month, against 12.5 percent in November. A majority of panelists in December reported conditions were unchanged.
The EBCI for future North American conditions rose for a fourth straight month in December. The index reached 78 points, its highest mark since well before the severe recession of 2008-09, and is up a cumulative 24 points since August 2010. A majority of panelists (60 percent) expect to see better conditions by June 2011, compared to only four percent expecting worse conditions in six months.
Global EBCI Indexes showed growth, too, with the exception of Europe, which lost 0.1 point. The EBCI Indexes for current conditions for Latin America (+1.9 points) and Asia Pacific (+2.4 points) were positive. The EBCI for future conditions in these markets also showed growth with conditions expected to improve in Latin America (+0.8 point); Europe (+4.4 points); and Asia Pacific (+5.4 points).