Global industrial production, as measured by the Organization for Economic Cooperation and Development (OECD)’s composite leading indicator (CLI), rose in February, and continues to point to economic expansion, the American Chemistry Council (ACC) says in its latest Weekly Chemistry and Economic Trends report, released April 16. The rate of expansion varied in different regions, but the strongest signs of increasing economic activity were seen in Japan and the U.S.
In the U.S., ACC analysis of the most recent economic data suggests widespread expansion, with 18 of its 20 indicators increasing this week.
Retail sales improved by 1.6% in March, a higher-than-expected total that followed a decline in February. The increase was led by strong automobile sales, and could indicate greater consumer confidence. ACC points out that there has been a historical correlation between retail sales and the consumption of polyethylene resins used in packaging.
The ACC market capitalization of U.S. basic and specialty chemical companies rose by 0.8% during the week ending April 15, to close at $564.3 billion. Over the same period, S&P 500 index was up 2.1%. Since the beginning of the year, the ACC market cap is up 3.7%, while the S&P 500 has risen 8.7%.