The Global Chemical Production Regional Index (global CPRI) rose 0.2% in June, the result of the global softâ€path in manufacturing, according to the American Chemistry Council (ACC; Washington, D.C., www.americanchemistry.com). In the organization’s most recent Weekly Chemical and Economic Trends Report, ACC said gains in the global chemical industry production have slowed on a yearâ€overâ€year (Y/Y) basis and the global CPRI was up 2.6% Y/Y on a threeâ€month moving average (3MMA) basis.
At the headline level (and in most regions), an expansion is occurring but some nations and regions continue to lag,” ACC wrote. By region, ACC said production in North America has generally been on an upward trend since the December 2008 low and output of chemistry products rose during the month of June. On a Y/Y 3MMA basis, activity grew strongest in the U.S. Output in Latin America was off 0.4% Y/Y, including a dip in Argentina and most notably in Brazil.
In the wider U.S. economy, ACC said many of the economic reports this week were on the positive side, after a few months of decidedly negative reports. This includes the strength in the housing starts report was encouraging, which ACC said may suggest that a bottom to that market has been reached. “The consensus, however, is that it may be another few years before housing is strong again,” ACC says.
Overseas, ACC says slower growth and monetary tightening in many nations is tempering global inflation, and most measures of industrial production are moderating.