Briefs	E-mail PagePrint Version

Activity at the nation's factories increased for a 20th consecutive month in January but the pace of expansion eased, reflecting sustained, moderate growth in the overall economy, according to the Institute for Supply Management (ISM). The industry watchdog group said that its index measuring manufacturing activity declined to 56.4 in January, from a revised reading of 57.3 in December. The January figure was slightly below the reading of 57 anticipated by analysts. Although the index declined, the fact that it remained above 50 indicates that the sector continued to grow last month but at a somewhat slower pace. A reading of 50 or above in the index means the manufacturing sector is expanding, while a figure below 50 represents a contraction. ISM economists said the reading shows the manufacturing sector continues to expand. But the growth is gradual, with the pace of new orders to plants slowing, despite a weak dollar that makes US-made goods more competitive overseas, the group said. Overall, of the 20 manufacturing sectors surveyed by the group, 12 reported growth. They include primary metals, furniture, rubber and plastic products, transportation and equipment, industrial and commercial equipment and computers, instruments and photographic equipment, miscellaneous, textiles, chemicals, electronic components and equipment, apparel, and food…

The Commerce Department has said that construction spending in the US jumped by 1.1% in December, making last year the best for building activity since 1996. The December increase was the sector's best showing in eight months, a sign of robust activity in both private and public sector building projects. For the year, building activity increased 9% to $998.4 billion, the largest increase since a 10.4% rise in 1996. The surge reflects "frenetic construction activity in the past year as builders responded to the demand fueled by the lowest mortgage rates in more than four decades," the DOC said. Total private residential activity rose by 14% to $542.7 billion last year, the biggest increase in a decade; and…

A potential showdown is looming between two Canadian pipeline companies over the right to build a multi-billion dollar line pumping oilsands crude over the Rocky Mountains and to new export markets California and Asia. Terasen Pipelines Inc. has said it will proceed with a $570 million expansion of its Trans Mountain pipeline after receiving "strong support" from 17 different parties, including new and existing customers. But the plan puts it in direct competition with pipeline giant Enbridge Inc.'s plan to build a new line to the coast by the end of the decade. Pending formal deals expected to be signed this summer, the Terasen expansion would add 75,000 barrels per day on its line from Alberta into Burnaby in British Columbia's Lower Mainland by 2008. Enbridge said the deals would involve at least one major Canadian oil producer and a Chinese company, either Petro-China or competing Sinopec International Petroleum Exploration and Production Corp. Enbridge has said that if it could get a major anchor deal to move between 100,000 and 200,000 barrels of oil a day, it would give the company enough confidence that it could sign several other smaller deals to fill up the rest of the 400,000 barrels per day capacity.

Go back, or read the latest briefs:

TRADE

empty