MNI 5 Things: Chicago Biz Barometer Ends 2018 On Upbeat Note

     LONDON (MNI) - The following are the key points from the December MNI

Chicago Business Barometer:

     --The MNI Chicago Business Barometer fell by one point in December to 65.4,

holding on to the bulk of November's 8-point rise. Consequently, the headline

index averaged 63.4 over the final three months of the year, the best quarterly

outturn this year.

     --Whilst the easing was primarily down to a fall in demand, November's

order book strength filtered through into higher output this month with

Production rising to an 11-month high.

     --Supply-side frustrations eased in December with the Supplier Deliveries

indicator hitting the lowest level since the same month a year ago. Delivery

times still remain longer than normal, however, hindering business operations.

This month there were reports from multiple firms of difficulties sourcing

metals, highlighting the ongoing impact of tariffs.

     --Despite continuously noting a lack of skilled labour, December's special

question showed the majority of firms (51.1%) would spend less than 5% of their

budget on maintaining or improving workforce productivity, with 35.6% spending

between 5-10% and only 13.3% spending over 10%. Firms could be looking to hire

workers who already have the desired skills or are seeking productivity gains

through an increase in capital equipment spending.

     --When asked about their 2019 growth forecasts, only 6.4% of firms

anticipated growth above 10% in 2019. A joint share of 46.8% believed their

business would expand by a rate below 5% or a rate between 5-10%.

--MNI London Bureau; tel: +44 203-586-2225; email: les.commons@marketnews.com

--MNI London Bureau; +44 203 865 3828; email: jai.lakhani@marketnews.com

--MNI London Bureau; +44 203-586-2226; email: jamie.satchithanantham@marketnews.com

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