Heartland new export orders and business confidence soar in November

December 19, 2017 – According to the latest supply managers’ survey from the Heartland region, new export orders roared to a hefty 65.8 reading in November form 54.3 in October, while its import index jumped to 59.8 from 58.6 in October.

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According to Ernie Goss, PhD, director of Creighton University’s Economic Forecasting Group and the Jack A. MacAllister Chair in Regional Economics in the Heider College of Business, who compiles the Heartland International Index for IBNewsmag, “Expanding regional growth spurred purchases of inputs from abroad, while growth among important trading partners boosted the new export orders to a very healthy level.”

The Business Conditions Index, which ranges between 0 and 100, slipped to a still healthy 57.2 from October’s 58.8. This is the 12th straight month the index has remained above growth neutral, continuing to point to positive growth for the region over the next three to six months.

“Both the national and our regional indices indicate the manufacturing sector is advancing at a very healthy pace and that this expansion will spill over into the broader national and regional economies in the next three to six months. Both durable and nondurable goods manufacturers have reported consistent growth over the past several months,” said Prof. Goss.

Looking ahead six months, economic optimism, as captured by the November business confidence index, expanded to a very strong 71.9 from 63.8 in October. “Healthy profit growth, still low interest rates, and the potential passage of a tax reform package pushed business confidence higher for the month,” reported Prof. Goss.

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