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Chemical Week Magazine :: Departments :: Leading Indicators

Indicator Stumbles

8:18 AM MDT | June 25, 2010 | Arnold Pearlman

The leading indicator for the chemical industry fell 1.2% in June, after three consecutive monthly increases. The drop in the chemical industry stock prices and a large decline in new home construction drove the indicator down. Starts fell 10%, while permits for future construction dropped 5.7%. Analysts say the housing decline could be the result of the end of the federal tax credit for home purchases, and if so, will likely be short-lived. On the positive side, new orders for manufactured products rose 1.2%, with durables up 2.8%, that segment’s fifth...

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