Chemical Activity Barometer suggests slow economic growth
WASHINGTON — The American Chemistry Council (ACC) Tuesday released the third monthly report of its Chemical Activity Barometer (CAB), a leading economic indicator derived from a composite index of chemical industry activity.
The August CAB showed a 0.4% growth over the previous month. This is the second monthly increase in the CAB, and follows upward revisions for June and July.
The upward trend suggests slow economic growth for the remainder of the year.
"The August CAB data indicates gradual economic growth, similar to what we saw in July, driven primarily by improving equity prices and positive trends in construction and light vehicle related chemical production," said Dr. Kevin Swift, chief economist at the American Chemistry Council. "This uptick in growth follows three consecutive months of decline and is comparable to patterns observed in 2010 and 2011. The CAB is back at its May 2012 level and is over 1% higher than it was a year ago."