“Despite oft-mentioned concerns about higher energy and commodity prices, a lower growth rate for consumer spending, a slowing of the housing and auto sectors, and higher interest rates, the manufacturing sector appears to be on solid footing and poised for yet another year of expansion.”
“The profit margin index is well above the 50%-level, indicating that, for most firms, profit margins are higher than one year ago, when margins were showing improvement from their depressed levels throughout 2001-2002.”
“While a few manufacturing industries--in particular, the auto industry -- face challenges, the overall manufacturing sector appears to be on very solid footing for at least the near term.”
