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November EBCI for Current Conditions Sees Nine-Point Jump

Dec. 6, 2019
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.

After two months of straddling the line between signaling growth or slowdown, the EBCI current conditions component moved firmly into growth territory with a nearly nine-point increase from last month’s score to 58.8 points.

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.

Although the share of “better” responses increased, most of the panelists noted unchanged conditions. The tenor of those remarks was largely unenthusiastic but somewhat positive-leaning and may be best summarized by one respondent’s note that conditions are “steady but at a strong level.”

A large drop-off in the proportion of responses expecting better conditions in six months alongside an even larger increase in the share of panel members anticipating an unchanged business environment, pushed the EBCI future component index to a 47.1 reading. The 5.8-point decline from October to November led the forward-looking measure to fall below 50 for the eighth time this year. Politics and policy weighed on some executives’ assessments of the months ahead, but the general tone appeared to be more wary than downbeat.