Economic Market Update

Cautious Optimism with a Touch of Volatility Likely for the Second Half of 2020 By Jason Schenker The economic and financial outlook for 2020 has consistently been one of volatility. And so far, we have not been disappointed. Geopolitical surprises, domestic political antagonisms, trade dynamics, oil price volatility, and other financial market surprises have already been pushing and pulling on ...

* By Jason Schenker * 2018 was a big year and optimism from 2018 carried over into the start of 2019. Then tax cut tailwinds faded against a larger-than-expected trade war between the United States and China. And 2019 weakened. These dynamics of disappointment were most pronounced for the global economy. But weakness in U.S. business investment and U.S. manufacturing played ...

MHI recently released, in collaboration with Oxford Economics, a new report, “Handling the US Economy: The Economic Impact of the Material Handling Industry.” This report explores the relationship between material handling and wider economy of the supply chain, finding that “the economic contribution of this industry extends far beyond the locations where [equipment]is manufactured… or designed.” Material handling firms are ...

An Outlook With Risk              * By Jason Schenker, Prestige Economics * Economic risks were high going into 2019. And the outlook for 2020 presents further risks. On the upside, monetary-policy hawkishness has vanished, and the U.S. economy is in a better place than many other economies. But global economic risks abound even though U.S.-Chinese trade relations have cooled off significantly ...

Looking Back to Look Ahead The first half of 2019 was solid. And we expect continued growth for the overall economy in the second half of the year. But growth still seems to slow through the end of 2020. * By Jason Schenker * The first half of 2019 was solid. And we expect continued growth for the overall economy ...

Putting Economic Risks in Context * By Jason Schenker * There are more risks this year than there were at this time last year—a lot more. Trade risks, political risks, geopolitical risks and even risks to global growth have all increased. But it is important to examine these risks in context, because while there are rising risks across the global ...

* By Jason Schenker, Prestige Economics * The U.S. economy and most material handling equipment manufacturers enjoyed solid growth in 2018. But the outlook for 2019 and 2020 is not as strong. The prospects of tighter monetary policy in the United States, rising levels of U.S. debt, and risks associated with the U.S.-China trade war present downside risks to U.S. ...

Economic growth in the United States was solid in 2017 and 2018. But the outlook for 2019 and 2020 is not as strong. Trade risks present downside risks to U.S. growth, global growth and the overall material handling outlook for 2019 and 2020. Furthermore, higher interest rates and rising labor costs also present downside risks to corporate profits and economic ...

* By Jason Schenker * The first half of the 2018 included a number of policy surprises that engendered significant financial market volatility. U.S. trade policy, in particular, became a flashpoint of uncertainty, as tariffs were lobbed back and forth between the U.S. and China. The aftermath of that uncertainty is likely to cast a shadow over growth prospects late ...

The outlook for the U.S. economy, global economy and material handling is strong for 2018. By Jason Schenker— Leading economic activity data, low interest rates, favorable tax policies in the United States, a falling greenback, and solid equity markets were all positive dynamics coming together to push material handling orders and overall activity to strong levels at the start of ...