Sector3’s focused expertise produces a targeted, insightful
and truly useful appraisal.

Sector3 helps companies and lenders decipher the underlying value of raw materials, metals, chemicals, plastics, and commodity inventory and machinery and equipment.  We are successful because we:

  • Specialize in the metals, chemicals, plastics, and commodity markets;
  • Offer extensive metals, chemicals, and plastics valuation experience
  • Believe customer service is a long-term objective.  

These advantages set Sector3 apart from other appraisal companies, and
have made Sector3 one of the largest metals, chemicals and commodity appraisal firms in the U.S.

Economic Indicators

Industrial production edged up 0.1% in July 2018 after advancing 0.6% in June.  Manufacturing increased 0.3%, which more than offset the 0.5% and 0.3% declines in the utilities and mining indices, respectively.  Capacity utilization remained unchanged at 78.1%, or 1.7 ppts below the 1972-2017 average.  Year-over-year, industrial production in July rose 4.2%. 

New orders for manufactured durable goods in July 2018 fell by 1.7% or $4.3 billion to $246.9 billion month-over-month, per the advanced report.  The decline in orders was driven by transportation equipment, which decreased 5.3% or $4.6 billion to $82.8 billion.  Shipments of manufactured durable goods were off $0.5 billion to $250.8 billion following two consecutive monthly increases, largely due to transportation equipment dropping 1.9% or $1.6 billion to $83.9 billion.    

The Purchasing Managers’ Index (PMI) advanced 3.2 ppts in July to 61.3% from August levels.  A value above 50% signifies expansion in the manufacturing industry.  From the 18 manufacturing industries surveyed, all but wood products and primary metals reported growth in August.  Respondents from multiple markets reported an influx of orders and sales.  Representatives from the machinery and fabricated metals industries, however, are still concerned about steel tariffs, which are complicating annual price negotiations.

The Consumer Confidence Index continued to climb in August month-over-month, from 127.9 to 133.4.  Consumers’ expectations and short-term outlooks for business conditions rebounded in August, and assessments of current conditions continued to improve.

The seasonally adjusted Consumer Price Index for All Urban Consumers (CPI-U) gained 0.2% in August after increasing 0.2% in June, due to positive contributions from the shelter and energy indices.  The seasonally adjusted Producer Price Index (PPI) for total final demand edged down 0.1% from July to August.

Per the second estimate, real Gross Domestic Product (GDP) increased at an annual rate of 4.2% in Q2 2018, which reflects a 0.1% increase from the advanced report.  The revision is primarily due to advances in nonresidential fixed investment and private inventory investment, which were subdued by downward revisions to personal consumption expenditures and imports.

In August 2018, the preliminary chemical and allied products Producer Price Index increased marginally to 296.6 from the June reading of 296.5.

 

88-02 69th Road Forest Hills, NY 11375 Phone: 718-268-4376 Fax: 718-425-9784